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chapter14probsetc

# chapter14probsetc - Problem Set C PROBLEM 14-1C This...

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Problem Set C PROBLEM 14-1C This chapter discusses various types of cost classifications. One of these classifications is classification by traceability. Costs that can be directly traceable to a cost object are called direct costs and costs that are not directly traceable to the cost object are called indirect costs. It costs many thousands of dollars to raise children today. Required: Make a list of some of the direct and indirect costs of raising children? PROBLEM 14-2C This chapter discusses various types of cost classifications. One of these classifications is the controllability classification. If an employee has the authority to incur a particular cost on behalf of the employer, the cost is said to be controllable by that employee. If the employee does not have the authority to incur a particular cost on behalf of the employer, the cost is not under the employee’s control and is not controllable by the employee. Required: All of you are students at some type of college or university. Almost all colleges and universities have department heads and deans. List four costs that a department head could control and four costs that a department head could not control. Then, list four costs that a dean could control and four costs that a dean could not control. PROBLEM 14-3C Dell Computer assembles and sells desktop and laptop computers to individuals and businesses. Let us assume that Dell does not actually manufacture the computers it sells but it does buy all of the parts necessary to build a computer and assembles them per the customer’s order. Most of the parts it purchases are fully-assembled sub-assemblies such as the computer case. Required: List ten sub-assemblies that Dell Computer would be likely to purchase as it assembles a completed computer.

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PROBLEM 14-4C The following information is taken from the December 31, 2005, adjusted trial balance and other
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chapter14probsetc - Problem Set C PROBLEM 14-1C This...

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