Becker BEC Flashcards
1
Q
What is an engineered cost?
A
A cost that bears an observable and known relationship to a quantifiable activity base.
2
Q
What is process costing?
A
Method of allocating production costs to products a s services by averaging the cost over the total units produced. Cost accumulated by department.
3
Q
What is job order costing?
A
A method of allocating production costs to products and services that are identifiable as separate units.
4
Q
Purpose of Cost Allocation
A
Measuring income and assets for external reporting.
