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C8 Exam Dumps : Business Acumen for Compensation Professional

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Business Acumen for Compensation Professional Questions and Answers

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Question 1

The Alpha company ships an order to a customer on March 1st and invoices the customer for the product with the shipment, with payment terms of net 30 days. The customer’s payment is received on April 5th. The payment clears the bank and shows on Alpha’s account on April 8th. If Alpha is using accrual accounting, when does it record the revenue for this sale?

Options:

A.

March 1st

B.

March 31st

C.

April 5th

D.

April 8th

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Question 2

Which of the following is the best example of a variable cost?

Options:

A.

Audit fees

B.

Rent

C.

Maintenance

D.

Shipping

Question 3

Regarding fixed and variable costs, what tends to happen as revenue increases?

Options:

A.

Variable costs decrease

B.

Fixed costs decrease

C.

Variable costs increase and consume a higher percent of revenue

D.

Fixed costs remain the same and consume a lower percent of revenue

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