Question 1

Cost of goods manufactured decreases the Work in Process Inventory account.

Accepted Answer

A) True 
 B)False

Question 2

Period cost and product cost are synonymous terms.

Accepted Answer

A) True 
 B)False

Question 3

Costs such as salary of supervisors and other support personnel,which are accounted for as overhead costs,are called

Accepted Answer

A)  direct labor. 
B)  sales assistance. 
C)  indirect labor. 
D)  variable labor. 
A)  direct labor. 
B)  sales assistance. 
C)  indirect labor. 
D)  variable labor.

Question 4

Overhead is said to be underapplied when actual overhead costs exceed the amount applied to production.

Accepted Answer

A) True 
 B)False

Question 5

Prime costs consist of

Accepted Answer

A)  direct materials and overhead. 
B)  direct labor and overhead. 
C)  direct labor and indirect labor. 
D)  direct materials and direct labor. 
A)  direct materials and overhead. 
B)  direct labor and overhead. 
C)  direct labor and indirect labor. 
D)  direct materials and direct labor.

Question 6

When the activity base used in calculating the predetermined overhead rate is units of output,which of the following also must be known before overhead can be applied to a particular job?

Accepted Answer

A)  Actual overhead incurred during the period 
B)  Estimated direct labor hours for all jobs during the period 
C)  Actual units produced for that job 
D)  Actual units produced for all jobs during the period 
A)  Actual overhead incurred during the period 
B)  Estimated direct labor hours for all jobs during the period 
C)  Actual units produced for that job 
D)  Actual units produced for all jobs during the period

Question 7

Nonvalue-adding costs increase the cost of a product.

Accepted Answer

A) True 
 B)False

Question 8

Which of the following is a collection of overhead costs related to a cost object?

Accepted Answer

A)  Cost driver 
B)  Cost function 
C)  Cost equation 
D)  Cost pool 
A)  Cost driver 
B)  Cost function 
C)  Cost equation 
D)  Cost pool

Question 9

Compute the overhead rate per shipping request for the Shipping Department if the estimated overhead costs are $18,290 and the number of estimated shipping requests is 3,100.

Accepted Answer

$18,290 / 3,100 requ

Cost of goods manufactured decreases the Work in Process Inventory account.

Period cost and product cost are synonymous terms.

Costs such as salary of supervisors and other support personnel,which are accounted for as overhead costs,are called

Overhead is said to be underapplied when actual overhead costs exceed the amount applied to production.

Prime costs consist of

When the activity base used in calculating the predetermined overhead rate is units of output,which of the following also must be known before overhead can be applied to a particular job?

Nonvalue-adding costs increase the cost of a product.

Which of the following is a collection of overhead costs related to a cost object?

Compute the overhead rate per shipping request for the Shipping Department if the estimated overhead costs are $18,290 and the number of estimated shipping requests is 3,100.

Uses of Accounting Information and the Financial Statements

Analyzing Business Transactions

Measuring Business Income

Supplement - Closing Entries and the Work Sheet

Financial Reporting and Analysis

The Operating Cycle and Merchandising Operations

Inventories

Cash and Receivables

Current Liabilities and Fair Value Accounting

Long Term Assets

Long-Term Liabilities

Contributed Capital

Investments

The Corporate Income Statement and the Statement of Stockholders Equity

The Statement of Cash Flows

The Changing Business Environment - a Managers Perspective

Costing Systems- Job Order Costing

Costing Systems- Process Costing

Value-Based Systems- Abm and Lean

Cost Behavior Analysis

The Budgeting Process

Performance Management and Evaluation

Standard Costing and Variance Analysis

Short Run Decision Analysis

Capital Investment Analysis

Pricing Decisions,incltarget Costing and Transfer Pricing

Quality Management and Measurement

Financial Analysis of Performance

Filters

Exam 16: Cost Concepts and Cost Allocation

Cost of goods manufactured decreases the Work in Process Inventory account.

Period cost and product cost are synonymous terms.

Costs such as salary of supervisors and other support personnel,which are accounted for as overhead costs,are called

Overhead is said to be underapplied when actual overhead costs exceed the amount applied to production.

Prime costs consist of

When the activity base used in calculating the predetermined overhead rate is units of output,which of the following also must be known before overhead can be applied to a particular job?

Nonvalue-adding costs increase the cost of a product.

Which of the following is a collection of overhead costs related to a cost object?

Compute the overhead rate per shipping request for the Shipping Department if the estimated overhead costs are $18,290 and the number of estimated shipping requests is 3,100.

Uses of Accounting Information and the Financial Statements

Analyzing Business Transactions

Measuring Business Income

Supplement - Closing Entries and the Work Sheet

Financial Reporting and Analysis

The Operating Cycle and Merchandising Operations

Inventories

Cash and Receivables

Current Liabilities and Fair Value Accounting

Long Term Assets

Long-Term Liabilities

Contributed Capital

Investments

The Corporate Income Statement and the Statement of Stockholders Equity

The Statement of Cash Flows

The Changing Business Environment - a Managers Perspective

Costing Systems- Job Order Costing

Costing Systems- Process Costing

Value-Based Systems- Abm and Lean

Cost Behavior Analysis

The Budgeting Process

Performance Management and Evaluation

Standard Costing and Variance Analysis

Short Run Decision Analysis

Capital Investment Analysis

Pricing Decisions,incltarget Costing and Transfer Pricing

Quality Management and Measurement

Financial Analysis of Performance

Filters