Demand Curve Refers to a Graph That Relates

question 192

Multiple Choice

demand curve refers to a graph that relates

• A) the quantity sold and price, which shows the maximum number of units that will be sold at a given price.
• B) the quantity sold and price, which shows the minimum number of units that must be sold to break even.
• C) the quantity sold and price, which shows the minimum number of units that must be sold in order to make a profit.
• D) total production costs to various price points in order to determine how many units must be sold in order to realize a predetermined profit.
• E) primary demand to selective demand.

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Definitions:

Revenue Variance

The difference between how much the revenue should have been, given the actual level of activity, and the actual revenue for the period. A favorable (unfavorable) revenue variance occurs because the revenue is higher (lower) than expected, given the actual level of activity for the period.

Cost Variance

The difference between the expected cost of a project or production process and the actual cost incurred.

Labour Efficiency Variance

A measure used in cost accounting to evaluate the difference between the actual hours worked and the standard hours expected to produce a certain level of output.

Production Manager

The person responsible for overseeing the production process and ensuring that manufacturing runs smoothly and efficiently.