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On the Line in Front of Each Statement, Enter the Letter

Question 263

Matching

On the line in front of each statement, enter the letter corresponding to the term that best fits that statement. You may use a letter more than once and some letters may not be used at all.

Premises:

Responses:

Costs that can be traced to the cost object.

Sunk cost

The combination of direct labor and manufacturing overhead costs.

Variable costs

The difference in cost between two alternative courses of action.

Differential cost

The cost of producing one more unit.

Marginal cost

The total cost divided by the total volume.

Conversion costs

Direct costs

Average cost

Indirect cost

Premises:

Costs that can be traced to the cost object.

The combination of direct labor and manufacturing overhead costs.

The difference in cost between two alternative courses of action.

The cost of producing one more unit.

The total cost divided by the total volume.

Responses:

Sunk cost

Variable costs

Differential cost

Marginal cost

Conversion costs

Direct costs

Average cost

Indirect cost

Correct Answer:

Premises:

Responses:

Sunk cost

Variable costs

Differential cost

Marginal cost

Conversion costs

Direct costs

Average cost

Indirect cost