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CMA/CPA
Question Type ID Origin origin
1 T/F E x New,6/27/97,E E.N.
2 T/F E x 3/14/2010 M1 E.N.
3 T/F H x 3/14/2010 N2 E.N.
Conceptual David
4 M/C E x x 8/e:ATB6-29 Keyes
Conceptual 3-17-2010 Conceptual
5 M/C M x A E.N.
8/22/2004 Single MC
6 M/C H x H4 E.N.
2A-1
© 2014 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This
document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part.
8/22/2004 Single MC
7 M/C H x G4 E.N.
8 M/C H x New,6/28/97,A9 E.N.
2A-1 9-10 Multipart M/C M x 8/21/2004 Multi MC G4 E.N.
2A-2 11-12 Multipart M/C H x 7/e: 6-59 to 60 Authors
2A-3 13-14 Multipart M/C M x 8/21/2004 Multi MC I4 E.N.
2A-4 15-16 Multipart M/C M x 8/21/2004 Multi MC H4 E.N.
Larry
17 Problem H x x LD9e:CH05P2 Deppe
18 Problem H x 8/22/2004 Problem J4 E.N.
19 Problem H x New,6/29/97,A9 E.N.
20 Problem H x x 6/e:5-62 Authors
21 Problem H x 8/21/2004 Problem H4 E.N.
22 Problem H x 8/21/2004 Problem I4 E.N.
2A-2
© 2014 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This
document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part.
Appendix 2A
1. In least-squares regression, independent variables are not included in the computations of the
slope and intercept.
True False
2. Least-squares regression selects the values for the intercept and slope of a straight line that
minimize the sum of the squared errors.
True False
3. When analyzing a mixed cost, you should always plot the data in a scattergraph, but it is
particularly important to check the data visually on a scattergraph when the R2 is very high.
True False
4. Which of the following methods of analyzing mixed costs can be used to estimate an equation for
the mixed cost?
A. Option A
B. Option B
C. Option C
D. Option D
2A-3
© 2014 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not
authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated,
forwarded, distributed, or posted on a website, in whole or part.
5. The least-squares regression method:
A. fits a line to data by minimizing the sum of the squared errors from the line.
B. is generally less accurate than the high-low method.
C. can be used only if the fixed cost element is larger than the variable cost element.
D. can be used only if the fixed cost element is smaller than the variable cost element.
6. The management of Ferry Corporation would like for you to analyze their repair costs, which are
listed below:
Management believes that repair cost is a mixed cost that depends on the number of machine-
hours. Using the least-squares regression method, the estimates of the variable and fixed
components of repair cost would be closest to:
2A-4
© 2014 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not
authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated,
forwarded, distributed, or posted on a website, in whole or part.
7. Moeller Inc.'s inspection costs are listed below:
Management believes that inspection cost is a mixed cost that depends on the number of units
produced. Using the least-squares regression method, the estimates of the variable and fixed
components of inspection cost would be closest to:
8. Your boss would like you to estimate the fixed and variable components of a particular cost.
Actual data for this cost over four recent periods appear below.
Using the least-squares regression method, what is the cost formula for this cost?
A. Y = $156.64 + $9.20X
B. Y = $0.00 + $16.01X
C. Y = $164.54 + $8.86X
D. Y = $169.97 + $6.10X
2A-5
© 2014 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not
authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated,
forwarded, distributed, or posted on a website, in whole or part.
Descoteaux Inc.'s inspection costs are listed below:
Management believes that inspection cost is a mixed cost that depends on units produced.
9. Using the least-squares regression method, the estimate of the variable component of inspection
cost per unit produced is closest to:
A. $9.87
B. $14.84
C. $9.26
D. $9.97
10. Using the least-squares regression method, the estimate of the fixed component of inspection
cost per month is closest to:
A. $1,979
B. $6,033
C. $5,624
D. $2,021
Carr Company reports the following data for the first six months of the year:
2A-6
© 2014 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not
authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated,
forwarded, distributed, or posted on a website, in whole or part.
11. Using the least-squares regression method, the estimated variable electrical cost per machine
hour is closest to:
A. $0.91
B. $0.10
C. $0.20
D. $0.25
12. Using the least-squares regression method, the estimated monthly fixed component of the
electrical cost is closest to:
A. $5
B. $20
C. $6
D. $10
Management believes that utility cost is a mixed cost that depends on machine-hours.
13. Using the least-squares regression method, the estimate of the variable component of utility cost
per machine-hour is closest to:
A. $8.15
B. $5.78
C. $5.57
D. $5.85
2A-7
© 2014 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not
authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated,
forwarded, distributed, or posted on a website, in whole or part.
14. Using the least-squares regression method, the estimate of the fixed component of utility cost per
month is closest to:
A. $19,733
B. $5,809
C. $19,962
D. $5,628
Management believes that maintenance cost is a mixed cost that depends on machine-hours.
15. Using the least-squares regression method, the estimate of the variable component of
maintenance cost per machine-hour is closest to:
A. $9.36
B. $9.49
C. $14.06
D. $9.23
16. Using the least-squares regression method, the estimate of the fixed component of maintenance
cost per month is closest to:
A. $2,859
B. $8,241
C. $8,550
D. $2,782
Essay Questions
2A-8
© 2014 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not
authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated,
forwarded, distributed, or posted on a website, in whole or part.
17. The Stephens Leadership Center provides training seminars in personal development and time
management. The company is relatively new and management is seeking information regarding
the Center's cost structure. The following information has been gathered since the inception of
the business in January of the current year:
Required:
a. Using the high-low method, estimate the variable cost per seminar and the total fixed cost per
month.
b. Using the least-squares method, estimate the variable cost per seminar and the total fixed cost
per month.
2A-9
© 2014 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not
authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated,
forwarded, distributed, or posted on a website, in whole or part.
18. Dillenbeck Printing Corp., a book printer, has provided the following data:
Management believes that the press setup cost is a mixed cost that depends on the number of
titles printed. (A specific book that is to be printed is called a "title". Typically, thousands of copies
will be printed of each title. Specific steps must be taken to setup the presses for printing each
title-for example, changing the printing plates. The costs of these steps are the press setup
costs.)
Required:
Estimate the variable cost per title printed and the fixed cost per month using the least-squares
regression method.
2A-10
© 2014 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not
authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated,
forwarded, distributed, or posted on a website, in whole or part.
19. Below are cost and activity data for a particular cost over the last four periods. Your boss has
asked you to analyze this cost so that management will have a better understanding of how this
cost changes in response to changes in activity.
Required:
Using the least-squares regression method, estimate the cost formula for this cost.
2A-11
© 2014 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not
authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated,
forwarded, distributed, or posted on a website, in whole or part.
20. Executive Training, Inc., provides a personal development seminar that is popular with many
companies. The number of seminars offered over the last five months, along with the total costs
of offering these seminars, follows:
Required:
a. Using the high-low method, estimate the variable cost per seminar and the total fixed cost per
month.
b. Using the least-squares regression method, compute the variable cost per seminar and the
total fixed cost per month. (Round off to the nearest whole dollar.)
2A-12
© 2014 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not
authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated,
forwarded, distributed, or posted on a website, in whole or part.
21. Galarneau Inc. maintains a call center to take orders, answer questions, and handle complaints.
The costs of the call center for a number of recent months are listed below:
Management believes that the cost of the call center is a mixed cost that depends on the number
of calls taken.
Required:
Estimate the variable cost per call and fixed cost per month using the least-squares regression
method.
2A-13
© 2014 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not
authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated,
forwarded, distributed, or posted on a website, in whole or part.
22. The management of Ferriman Corporation would like to better understand the behavior of the
company's warranty costs. Those costs are listed below for a number of recent months:
Management believes that warranty cost is a mixed cost that depends on the number of product
returns.
Required:
Estimate the variable cost per product return and the fixed cost per month using the least-squares
regression method.
2A-14
© 2014 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not
authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated,
forwarded, distributed, or posted on a website, in whole or part.
Appendix 2A Least-Squares Regression Computations Answer Key
1. In least-squares regression, independent variables are not included in the computations of the
slope and intercept.
FALSE
2. Least-squares regression selects the values for the intercept and slope of a straight line that
minimize the sum of the squared errors.
TRUE
3. When analyzing a mixed cost, you should always plot the data in a scattergraph, but it is
particularly important to check the data visually on a scattergraph when the R2 is very high.
FALSE
2A-15
© 2014 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not
authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated,
forwarded, distributed, or posted on a website, in whole or part.
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tuleva Santo Niñokin saapuisi avuksenne. Siitä mitä on tapahtunut,
voinette vetää johtopäätöksenne siihen nähden, mitä tulee
tapahtumaan. En vaivaisikaan tällä kirjeellä teidän ylhäisyyttänne,
ellen olisi inhimillinen mies, joka kammoaa verenvuodatusta. Sen
vuoksi tarjoan teille nyt puhtaasti ihmisystävällisistä syistä viimeiset
ehtoni ennen kuin käyn käsittelemään voittamattomaksi
arvelemaanne linnoitusta samalla tavalla kuin laivojannekin, joita te
myös piditte voittamattomina. Säästän Maracaibon kaupungin
hävitykseltä ja vien mieheni sieltä heti sekä jätän ne
neljäkymmentä vankia, jotka sieltä olen ottanut, takaisin sillä
ehdolla, että te maksatte minulle viisikymmentätuhatta kultarahaa
ja sata nautaa lunnaina ja annatte minun häiriintymättä mennä
salmesta. Vankini, jotka suurimmaksi osaksi ovat arvohenkilöitä,
pidän panttina lähtööni saakka, jolloin lähetän heidät takaisin
kanooteissa, joita sitä varten otan mukaani. Jos teidän
ylhäisyytenne neuvonantajat mahdollisesti saavat teidän
hylkäämään ehtoni ja siten pakotatte minut hävittämään
linnoituksen ehkäpä muutamien ihmishenkien kustannuksella, niin
varoitan teitä, sillä mitään armoa ette siinä tapauksessa voi meidän
puoleltamme odottaa, ja minä alan työni muuttamalla tuhkaläjäksi
sen paikan, jossa viehättävä Maracaibon kaupunki nyt seisoo.»
»En, en vielä.»
»Mistä pirusta minä sen tietäisin. Minä toivoin, että teillä olisi
itsellänne jokin suunnitelma. Mutta koska teille näkyy olevan niin
tuiki tärkeää pelastaa oma nahkanne, niin saatte sekä te että ne,
jotka ovat samaa mieltä kanssanne, erinomaisen kernaasti jättää
meidät. En vähääkään epäile, että espanjalainen amiraali on
hyvillään siitä, kun lukumäärämme siten tuntuvasti vaikka hieman
myöhäänkin vähenee. Saatte purren läksiäislahjaksi meiltä ja voitte
liittyä vaikka Don Miguelin linnoitusjoukkoihin, sillä en usko, että te
ainakaan meitä voitte hyödyttää tässä pälkähässä.»
»Ja mistä aiotte saada sen kokoon?» kysyi hän ilmaisten lievän
hämmästyksensä.
»Kunniantuntoonne, kapteeni.»
Kapteeni Blood nauroi taas ja siinä oli katkera sävy, joka sai Don
Franciscon pelkäämään pahinta. Hän ei osannut arvata, että
kapteeni ivasi itseään.
Vaikka hän oli hämmästynyt, niin olisi hän ollut sitä vielä
suuremmassa määrin, jos olisi tiennyt totuuden asiassa, nimittäin
sen, että saaressa ei ollut ainoatakaan merirosvoa eikä ainoatakaan
tykkiä. Petos oli onnistunut täydellisesti. Don Miguel ei osannut
arvata, että miehet, joita pirogeissa kuljetettiin, olivat joka kerralla
samoja, että he matkalla saareen seisoivat tai istuivat näkyvissä,
mutta paluumatkalla laivoille makasivat näkymättöminä veneiden
pohjalla, jotka siten näyttivät tyhjiltä.
Kahdeksastoista luku
MILAGROSA
Maine, joka hänellä tätä ennen oli ollut, oli aivan mitätön siihen
verrattuna mitä nyt seurasi. Se oli mainetta, jota ei kukaan
merirosvo ole nauttinut — ei edes Morgan — aikaisemmin eikä
myöhempinäkään aikoina.
Tortugassa, jossa hän nyt pani kuntoon niitä laivoja, jotka oli
anastanut siitä laivastosta, jonka piti tuhota hänet, hän joutui
Rannikon veljeskunnan keskuudessa rajattoman ihailun ja melkeinpä
jumaloimisen esineeksi, ja kaikki pyrkivät osallisuuteen kunniasta
päästä hänen palvelukseensa. Se tarjosi hänelle harvinaisen
tilaisuuden valita suurentunutta laivastoaan varten miehistön
tarkalleen oman makunsa mukaan, ja hän valikoi tarkkaan. Kun hän
seuraavan kerran lähti merille, oli hänellä viisi komeata laivaa
käsittävä laivasto ja yli tuhat miestä. Näette siis, että hän ei ollut
ainoastaan kuuluisa, vaan myös pelottava. Kolme uutta espanjalaista
alustaan risti hän uudelleen oppineen huumorilla Clothoksi,
Lachesikseksi ja Atropokseksi, julman leikillisesti ilmoittaakseen
maailmalle, että hän asetti ne jokaisen espanjalaisen kohtalon
ratkaisijoiksi, joka vain sattui hänen tielleen merellä.
Ennen kuin St. Nikolas oli häipynyt näköpiiristä, oli heistä tullut,
hyvät ystävät ja hänen ylhäisyytensä lordi alkoi korjata
ensivaikutelmaansa tytöstä sekä huomata viehätystä siinä
suorasukaisessa toverillisuudessa, jolla tyttö kohteli kaikkia miehiä
veljinään. Kun ajattelemme, että lordin mieltä painoi hänen
matkansa aiheuttanut tehtävä, niin ei ole ihmeellistä, että he
joutuivat puhumaan kapteeni Bloodistakin.
Tyttö oli kääntynyt häneen päin. Hän oli huuliaan myöten kalpea ja
hänen utuiset silmänsä välähtivät, kun hän lopetti lordin Bloodia
puolustavat puheet.