Exam 2: An Introduction to Cost Terms and Purposes

Sheen Manufacturing has four manufacturing cost pools and many types of costs, some of which are e listed below.Match the type of cost with the most appropriate cost pool or as a period cost. A)Period cost B)Cost pool - indirect factory operating costs C)Cost pool - indirect factory labour D)Cost pool - direct factory labour -property insurance on the factory

A manufacturing plant produces two product lines: football equipment and hockey equipment.An indirect cost for the hockey equipment line is the

Cost assignment is a term that refers solely to allocating indirect costs among diverse cost objects.

Use the information below to answer the following question(s).Toronto Industries Inc.had the following activities during the year: -Manufacturing-sector companies report on the balance sheet

Albright Manufacturing Company had the following account balances for the quarter ending March 31, unless otherwise noted: Required: a.Prepare a cost of goods manufactured schedule for the quarter. b.Prepare a cost of goods sold schedule for the quarter.

Answer the following question using the information below.Pederson Company reported the following: -What is the amount of gross margin?

Answer the following question(s)using the information below.The Singer Company manufactures several different products.Unit costs associated with Product ICT101 are as follows: -What are the fixed costs per unit associated with Product ICT101?

Use the information below to answer the following question(s).Big Island Coffee Co.produced and sold 120,000 units last year.Per unit revenue and costs were as follows: Fixed manufacturing overhead and administrative salaries are fixed costs.The per unit amounts are based on last year's production. -Which one of the following is a variable cost for an insurance company?

Prime costs consist of direct and indirect manufacturing labour.

Answer the following question(s)using the information below.The following information pertains to Alleigh's Mannequins: -What is the average manufacturing cost per unit?

A cost object is always either a product or a service.

Which of the following is TRUE concerning prime costs?

Whether a company traces costs directly to an output unit or not depends upon

Sheen Manufacturing has four manufacturing cost pools and many types of costs, some of which are e listed below.Match the type of cost with the most appropriate cost pool or as a period cost. A)Period cost B)Cost pool - indirect factory operating costs C)Cost pool - indirect factory labour D)Cost pool - direct factory labour -utilities on the administrative building

An appropriate cost driver for shipping costs might be the number of units shipped.

Which one of the following examples could be classified as a direct cost?

Direct materials inventory is products held for resale.

Office Supply Company manufactures office furniture.Recently the company decided to develop a formal cost accounting system.The company is currently converting all costs into classifications as related to its manufacturing processes.Required: For the following items, label each as being appropriate for

Christi Manufacturing provided the following information for last month: If sales double next month, what is the projected operating income?

The types of costs included in the product cost differ depending on the purpose of the costing.Describe the generic value chain categories that are pertinent to product costs regarding ASPE/IFRS-compliant inventoriable costs; and, product costs for product pricing and product mix decisions.