Warm up - L3

Warm up - L3 - b. allocation system c. cost tracing system...

Info iconThis preview shows pages 1–2. Sign up to view the full content.

View Full Document Right Arrow Icon
True/False 1. Improvements in information-gathering technologies are making it possible to trace more costs as direct. 2. Depreciation can be classified as either an inventoriable cost or a period cost, depending on what is being depreciated. 3. Costs that are difficult to change over the short run are always variable over the long run. 4.If a worker is paid for 8 hours, but is idle for 1 of those 8 hours, the 1 hour of idle time would be considered a component of direct labor. . MCQs 1. The general term used to identify both the tracing and the allocation of accumulated costs to a cost object is: a. cost accumulation b. cost assignment c. cost tracing d. conversion costing 2. The determination of a cost as either direct or indirect depends upon the: a. accounting system
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Background image of page 2
This is the end of the preview. Sign up to access the rest of the document.

Unformatted text preview: b. allocation system c. cost tracing system d. cost object chosen 3. Which one of the following items is a direct cost? a. Customer-service costs of a multiproduct firm; Product A is the cost object. b. Printing costs incurred for payroll check processing; payroll check processing is the cost object. c. The salary of a maintenance supervisor in a multiproduct manufacturing plant; Product B is the cost object. d. Utility costs of the administrative offices; the accounting department is the cost object. 4. Kym Manufacturing provided the following information for last month: Sales $12,000 Variable costs 4,000 Fixed costs 1,000 Operating income $7,000 If sales double next month, what is the projected operating income? a. $14,000 b. $15,000 c. $18,000 d. $19,000...
View Full Document

Page1 / 2

Warm up - L3 - b. allocation system c. cost tracing system...

This preview shows document pages 1 - 2. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online