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2. True or False{1*10) 1) Financial accountants contribute to strategic decisions by providing information about the sources of competitive advantage. 2) Companies add value through research and development (R&D), design of products and processes, production, marketing, employee welfare, and customer service 3) A fixed cost remains unchanged in total for a given time period despite wide changes in the related level of total activity or volume of output produced. 4) The breakeven point is unaffected by income taxes because no income taxes are paid when operating income equals zero. 5) Sensitivity analysis assists managers in understanding the behavior of a product's or service's total costs, total revenues, and operating income as changes occur in the output level, selling price, variable costs, or fixed costs. 6) Job-costing systems assign costs to distinct units of a product or service. Process costing systems assign costs to masses of identical or similar units and compute unit costs on an average basis. 7) Actual costing uses actual quantities of inputs for tracing direct costs and actual quantities of the cost-allocation bases for allocating indirect costs. 8) Normal costing uses normal quantities of inputs for tracing direct costs and normal quantities of the cost-allocation bases for allocating indirect costs. 9) The main challenge of implementing job-costing systems is estimating actual costs of jobs in a timely manner. 10) In ABC, costs of activities are used to assign costs to other cost objects such as products or services based on the activities the products or services consume

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