Exam 3: Operating Processes: Planning and Control

Tri-State Corporation ordered materials from Down-State Manufacturing on October 1,2006.Down-State shipped the materials by rail on October 5 and the railroad notified Tri-State on October 12,that the goods had arrived.Tri-State picked up the materials on October 13.The terms of the sale are FOB shipping point.On what date should Tri-State consider this a purchase?

Which of the following is not a variable cost?

A cost that is constant per unit but varies in total is called a(n):

Which of the following would not be collected from the customer when an order is received?

The "I Can't Believe It's Yogurt" shop sells only yogurt and only in cups.Which of the following would be a variable cost if number of customers is the cost driver?

Explain why it is inappropriate to calculate the cost of an expected activity (using a cost formula generated by either the High/Low method or linear regression)that is outside the relevant range of activity.

Which of the following is part of the revenue process?

Use the following to answer questions The Tempo Manufacturing Company has kept track of the number of units they have produced each month and the cost to produce those units for the past 8 months -Using the information above calculate the cost estimation equation using the high/low method.If Tempo expects to produce 7,000 units in Feb what cost should Tempo budget for?