Fuck This Class

Question 1

All costs necessary to produce or purchase goods. The three cost of manufactured goods or direct materials, direct labor, and manufacturing overhead.

Answer 1

Product cost

Question 2

Cost incurred to run a business and sell the goods and services.

Answer 2

Period cost

Question 3

The two primary classes of period cost are?

Answer 3

Administrative and selling cost

Question 4

Those materials used in the manufacturing of goods or providing a service that can be effectively and efficiently traced to the finish good

Answer 4

Direct materials

Question 5

The cost of labor for those workers who are directly responsible for the production of the product or providing the service

Answer 5

Direct labor

Question 6

All cost, incurred to produce a product, that are Direct materials or direct labor

Answer 6

Manufacturing overhead

Question 7

All cost incurred to provide a service that are not direct materials or direct labor

Answer 7

‘Service overhead

Question 8

Materials that cannot be easily traced to the finished product or not a large enough to justify tracing to the final product

Answer 8

Indirect materials

Question 9

Cost of factory wages and salaries of people not directly related to producing the product

Answer 9

Indirect labor

Question 10

Direct materials and direct labor

Answer 10

Prime COST

Question 11

Direct labor and manufacturing/service overhead

Answer 11

Conversion cost

Question 12

Those cost incurred to keep the business going, including payroll, administrators, personnel, office supplies

Answer 12

‘Administrative cost

Question 13

Cost incurred in marketing and selling the product to customers

Answer 13

Selling cost

Question 14

Any item which managers want a separate measure of cost

Answer 14

Cost object

Question 15

Which of the following is NOT part of the budgeting process?

Planning
Benchmarking
Uncovering bottlenecks
Coordinating operations

Answer 15

Uncovering Bottlenecks

Question 16

Which of the following is an advantage of budgeting?
Makes everyone behave
Ensures no issues
Provides perfect products
Uncovers potential bottlenecks

Answer 16

Uncovers potential bottlenecks

Question 17

Which budget includes all of the company’s budgets?

Answer 17

Master Budget

Question 18

Participative budgeting involves letting everyone in the company determine its direction and gives all employees power to set the budgets.
True or false

Answer 18

False

Question 19

Strategic budgets involves long-term plannings; whereas, operational or tactical budgets are for the short-term.
True or False

Answer 19

True