Question 1

Which of the following are period costs?

Accepted Answer

A) income taxes and indirect materials 
B) selling and administrative expenses 
C) indirect labour 
D) advertising and factory depreciation 
A) income taxes and indirect materials 
B) selling and administrative expenses 
C) indirect labour 
D) advertising and factory depreciation

Question 2

Inventoriable costs are also referred to as

Accepted Answer

A) product costs. 
B) administrative costs. 
C) period costs. 
D) recorded costs. 
A) product costs. 
B) administrative costs. 
C) period costs. 
D) recorded costs.

Question 3

Fees for office cleaning and maintenance are

Accepted Answer

A) neither direct nor indirect. 
B) fixed product costs. 
C) variable product costs. 
D) fixed or variable product costs. 
A) neither direct nor indirect. 
B) fixed product costs. 
C) variable product costs. 
D) fixed or variable product costs.

Question 4

Variable costs vary exponentially with the changes in the company's activity level.

Accepted Answer

A) True 
 B)False

Question 5

Which of the following are period costs?

Accepted Answer

A) workers wages in the shipping department 
B) workers wages paid for statutory holidays 
C) workers wages in the plant maintenance department 
D) workers wages on an assembly line 
A) workers wages in the shipping department 
B) workers wages paid for statutory holidays 
C) workers wages in the plant maintenance department 
D) workers wages on an assembly line

Question 6

Which one of the following costs would be included in manufacturing overhead of a lawn mower manufacturer?

Accepted Answer

A) the cost of the wheels 
B) the cost of the fuel lines that run from the motor to the gas tank 
C) depreciation on the testing equipment 
D) the wages earned by motor assemblers 
A) the cost of the wheels 
B) the cost of the fuel lines that run from the motor to the gas tank 
C) depreciation on the testing equipment 
D) the wages earned by motor assemblers

Question 7

A company uses sandpaper in its production process.How is the cost of the sandpaper classified?

Accepted Answer

A) an insignificant expense that can be ignored 
B) a direct material 
C) a period cost 
D) a product cost 
A) an insignificant expense that can be ignored 
B) a direct material 
C) a period cost 
D) a product cost

Question 8

An activity level can be expressed in sales dollars, kilometres driven, units produced, number of dance classes taught, or percentage of rooms occupied.

Accepted Answer

A) True 
 B)False

Which of the following are period costs?

Inventoriable costs are also referred to as

Fees for office cleaning and maintenance are

Variable costs vary exponentially with the changes in the company's activity level.

Which of the following are period costs?

Which one of the following costs would be included in manufacturing overhead of a lawn mower manufacturer?

A company uses sandpaper in its production process.How is the cost of the sandpaper classified?

An activity level can be expressed in sales dollars, kilometres driven, units produced, number of dance classes taught, or percentage of rooms occupied.

Managerial Accounting

Job-Order Cost Accounting

Process Cost Accounting

Activity-Based Costing

Decision-Making: Costvolumeprofit

Incremental Analysis

Alternative Inventory Costing Methods: a Decision-Making Perspective

Pricing

Budgetary Planning

Budgetary Control and Responsibility Accounting

Standard Costs and Balanced Scorecard

Planning for Capital Investments

Filters

Exam 2: Managerial Cost Concepts and Cost Behaviour Analysis

Which of the following are period costs?

Inventoriable costs are also referred to as

Fees for office cleaning and maintenance are

Variable costs vary exponentially with the changes in the company's activity level.

Which of the following are period costs?

Which one of the following costs would be included in manufacturing overhead of a lawn mower manufacturer?

A company uses sandpaper in its production process.How is the cost of the sandpaper classified?

An activity level can be expressed in sales dollars, kilometres driven, units produced, number of dance classes taught, or percentage of rooms occupied.

Managerial Accounting

Job-Order Cost Accounting

Process Cost Accounting

Activity-Based Costing

Decision-Making: Costvolumeprofit

Incremental Analysis

Alternative Inventory Costing Methods: a Decision-Making Perspective

Pricing

Budgetary Planning

Budgetary Control and Responsibility Accounting

Standard Costs and Balanced Scorecard

Planning for Capital Investments

Filters