MA

Question 1

Are any expenses that change based on how much a company produces and sells.

Answer 1

Variable cost

Question 2

Is an expense that does not change when sales or production volumes increases or decreases and remain constant.

Answer 2

Fixed cost

Question 3

Cost has both variables and fixed components

Answer 3

Mixed cost

Question 4

All cost involved in acquiring or making a product

Answer 4

Product cost

Question 5

All cost that are incurred to secure customer orders and get finished goods product to the customer.

Answer 5

Selling cost

Question 6

is anything for which cost data are desired- including products, customers and organizational subunits.

Answer 6

Cost object

Question 7

is a cost that cannot be easily and conveniently traced to a specified
Er. Rent, Utilities, Greseal affice expenses
cost object.

Answer 7

Indirect cost

Question 8

is a cost that can be easily and conveniently traced to a specified
Ex. Direct labor, Materials, Supplies
cost object.

Answer 8

Direct cost

Question 9

-is a cost that incurred to support a number of cost object but cannot be traced to them individually.

Answer 9

Common cost

Question 10

is the sum of direct materials cost and direct labor cost.

Answer 10

Prime cost

Question 11

are raw materials, such as the sold used to make electrical connections in a Samsung HDTV

Answer 11

Indirect materials

Question 12

the sum of costs of all resources consumed in the process of making a product.

Answer 12

Manufacturing cost

Question 13

the materials that go into the final product usually called raw matcrials.

Answer 13

Direct materials

Question 14

refers to employees, such as janitors, supervisors, materials handles maintenance workers, and night security guards, that play an essential role in running.

Answer 14

Indirect labor

Question 15

Consists of labor costs that can be easily traced to individual units of product.

Answer 15

Direct labor

Question 16

include all costs associated with the general management of an organization rather than with manufacturing or selling.

Answer 16

Administrative cost

Question 17

Because product costs are initially assigned to inventories, they are also known as

Answer 17

Inventoriable cost

Question 18

are all the costs that are not product costs.

Answer 18

Period cost

Question 19

consist of completed units of product that have not yet been sold to customers.

Answer 19

Finished goods

Question 20

consists of units of product that are only partially complete and will require further work before they are ready for sale to the customer.

Answer 20

Work in progress

Question 21

ASSIGNING COSTS TO COST OBJECT(2)

Answer 21

Direct Cost
Indirect Cost

Question 22

ACCOUNTING FOR COST IN MANUFACTURING (7)

Answer 22

Manufacturing cost
Direct materials
Direct labor
Manufacturing overhead
Non-manufacturing
Selling cost
Administrative cost

Question 23

PREPARING FINANCIAL STATEMENT(2)

Answer 23

Product cost
Period cost

Question 24

PREDICTING COST BEHAVIOR (3)

Answer 24

Variable cost
Fixed cost
Mixed cost

Question 25

MAKING DECISION (3)

Answer 25

Differential cost
Sunk cost
Opportunity cost

Question 26

is used in situations where many different products, each with individual and unique features, are produced each period.

Answer 26

Job order costing

Question 27

is a document that list the quantity of each type of materials needed to complete a unit product.

Answer 27

Bill of materials

Question 28

• is a document that specifies the type, and quantity of materials to be drawn from the storeroom and identifies the job that will be charged for the cost of material.

Answer 28

Material Requisition form

Question 29

• records the materials, labor and manufacturing overhead cost charged to specific job.

Answer 29

Job Cost Sheet

Question 30

is an hour by hour summary of employces activity through out the day

Answer 30

Time ticket

Question 31

-is a measure such as DL Hours or Machine tours that is used to assign of casts to products i services.

Answer 31

Allocating base