The CBCA

question 55

Multiple Choice

The CBCA

• A)applies to every corporation that operates in Canada.
• B)requires that people who want to incorporate a corporation file a report that demonstrates that no other corporation already has the name that the corporation will use after it is incorporated.
• C)provides the model for the corporation legislation that exists in every province in Canada.
• D)applies only to corporations that conduct business in areas that,according to sections 91 and 92 of the Constitution,fall within the legislative authority of the federal government.
• E)governs most types of business organizations,including partnerships and sole proprietorships.

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Definitions:

Break-Even

The point at which total costs and total revenues are equal, meaning there is no net loss or gain.

Absorption Costing

A costing method that includes all manufacturing costs—direct materials, direct labor, and both variable and fixed manufacturing overhead—in the cost of a product.

Variable Manufacturing Costs

Costs that fluctuate directly with the level of production output, such as the costs of raw materials and direct labor.

Selling Price

The amount a company charges for its product or service, which can impact demand, revenue, and profitability.