Question 1

Advertising a new health beverage is an example of a product-level activity.

Accepted Answer

A) True 
 B)False

Question 2

Really Fast Delivery Services has the collected the following information about operating expenditures for its delivery truck fleet for the past five years:
  
-Using the high-low method, what is the cost estimate for fixed costs for 2018?

Accepted Answer

A)  $100,000 
B)  $ 70,000 
C)  $115,500 
D)  $109,650 
A)  $100,000 
B)  $ 70,000 
C)  $115,500 
D)  $109,650

Question 3

Number of employees is most appropriate as a cost driver for which of the following types of activity costs?

Accepted Answer

A)  Machining 
B)  Purchasing 
C)  Assembly 
D)  Payroll 
A)  Machining 
B)  Purchasing 
C)  Assembly 
D)  Payroll

Question 4

Really Fast Delivery Services has the collected the following information about operating expenditures for its delivery truck fleet for the past five years:
  
-What is the best estimate of total operating expenses for 2018 using the high-low method based on total expected miles of 60,000?

Accepted Answer

A)  $192,900 
B)  $195,000 
C)  $196,000 
D)  $201,000 
A)  $192,900 
B)  $195,000 
C)  $196,000 
D)  $201,000

Question 5

This creates difficulties in cost estimations:

Accepted Answer

A)  Changes in technology or prices 
B)  Identifying cost drivers 
C)  Matching activity and cost within each observation 
D)  All of the above 
A)  Changes in technology or prices 
B)  Identifying cost drivers 
C)  Matching activity and cost within each observation 
D)  All of the above

Question 6

Your company has just performed a least-squares regression analysis of the monthly costs of manufacturing a new product. What are some considerations that should be made before making a decision based on the results of this analysis?

Accepted Answer

First of all, there are some factors rel

Question 7

The determination of the mathematical relationship between activity level and cost is known as:

Accepted Answer

A)  Cost control 
B)  Cost estimation 
C)  Cost prediction 
D)  Regression analysis 
A)  Cost control 
B)  Cost estimation 
C)  Cost prediction 
D)  Regression analysis

Question 8

Facility level activities of an organization would not include:

Accepted Answer

A)  Building maintenance 
B)  Machine set up 
C)  Property taxes 
D)  The production supervisor's salary 
A)  Building maintenance 
B)  Machine set up 
C)  Property taxes 
D)  The production supervisor's salary

Question 9

Really Fast Delivery Services has the collected the following information about operating expenditures for its delivery truck fleet for the past five years:
  
-Using the high-low method, what is the cost estimate for variable costs for 2018?

Accepted Answer

A)  $1.29 
B)  $2.00 
C)  $1.60 
D)  $1.50 
A)  $1.29 
B)  $2.00 
C)  $1.60 
D)  $1.50

Question 10

The following data was input into a spreadsheet program to determine the Intercept, Slope and RS1U1P12 S1S1P0(RSQ) for Patient Days and Maintenance Costs for a local hospital:
  
-The estimated fixed maintenance cost for the hospital is:

Accepted Answer

A)  $5,468 
B)  $2,734 
C)  $0.793 
D)  $0.541 
A)  $5,468 
B)  $2,734 
C)  $0.793 
D)  $0.541

Question 11

Committed fixed costs are also known as:

Accepted Answer

A)  Capacity costs 
B)  Managed fixed costs 
C)  Mixed costs 
D)  Step costs 
A)  Capacity costs 
B)  Managed fixed costs 
C)  Mixed costs 
D)  Step costs

Advertising a new health beverage is an example of a product-level activity.

Really Fast Delivery Services has the collected the following information about operating expenditures for its delivery truck fleet for the past five years: -Using the high-low method, what is the cost estimate for fixed costs for 2018?

Number of employees is most appropriate as a cost driver for which of the following types of activity costs?

Really Fast Delivery Services has the collected the following information about operating expenditures for its delivery truck fleet for the past five years: -What is the best estimate of total operating expenses for 2018 using the high-low method based on total expected miles of 60,000?

This creates difficulties in cost estimations:

Your company has just performed a least-squares regression analysis of the monthly costs of manufacturing a new product. What are some considerations that should be made before making a decision based on the results of this analysis?

The determination of the mathematical relationship between activity level and cost is known as:

Facility level activities of an organization would not include:

Really Fast Delivery Services has the collected the following information about operating expenditures for its delivery truck fleet for the past five years: -Using the high-low method, what is the cost estimate for variable costs for 2018?

The following data was input into a spreadsheet program to determine the Intercept, Slope and R²(RSQ) for Patient Days and Maintenance Costs for a local hospital: -The estimated fixed maintenance cost for the hospital is:

Committed fixed costs are also known as:

Managerial Accounting: Tools for Decision Making

Cost-Volume-Profit Analysis and Planning

Relevant Costs and Benefits for Decision Making

Product Costing: Job and Process Operations

Activity-Based Costing, Customer Profitability, and Activity-Based Management

Additional Topics in Product Costing

Pricing and Other Product Management Decisions

Operational Budgeting and Profit Planning

Standard Costs and Performance Reports

Segment Reporting, Transfer Pricing, and Balanced Scorecard

Capital Budgeting Decisions

Appendix: Managerial Analysis of Financial Statements

Filters

Exam 2: Cost Behavior, Activity Analysis, and Cost Estimation

Advertising a new health beverage is an example of a product-level activity.

Really Fast Delivery Services has the collected the following information about operating expenditures for its delivery truck fleet for the past five years: -Using the high-low method, what is the cost estimate for fixed costs for 2018?

Number of employees is most appropriate as a cost driver for which of the following types of activity costs?

Really Fast Delivery Services has the collected the following information about operating expenditures for its delivery truck fleet for the past five years: -What is the best estimate of total operating expenses for 2018 using the high-low method based on total expected miles of 60,000?

This creates difficulties in cost estimations:

Your company has just performed a least-squares regression analysis of the monthly costs of manufacturing a new product. What are some considerations that should be made before making a decision based on the results of this analysis?

The determination of the mathematical relationship between activity level and cost is known as:

Facility level activities of an organization would not include:

Really Fast Delivery Services has the collected the following information about operating expenditures for its delivery truck fleet for the past five years: -Using the high-low method, what is the cost estimate for variable costs for 2018?

The following data was input into a spreadsheet program to determine the Intercept, Slope and R2 (RSQ) for Patient Days and Maintenance Costs for a local hospital: -The estimated fixed maintenance cost for the hospital is:

Committed fixed costs are also known as:

Managerial Accounting: Tools for Decision Making

Cost-Volume-Profit Analysis and Planning

Relevant Costs and Benefits for Decision Making

Product Costing: Job and Process Operations

Activity-Based Costing, Customer Profitability, and Activity-Based Management

Additional Topics in Product Costing

Pricing and Other Product Management Decisions

Operational Budgeting and Profit Planning

Standard Costs and Performance Reports

Segment Reporting, Transfer Pricing, and Balanced Scorecard

Capital Budgeting Decisions

Appendix: Managerial Analysis of Financial Statements

Filters

The following data was input into a spreadsheet program to determine the Intercept, Slope and R²(RSQ) for Patient Days and Maintenance Costs for a local hospital: -The estimated fixed maintenance cost for the hospital is: