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Unformatted text preview: Quiz 4 (Chapter 12-13) 1. Cost allocation base refers to the _____. a. cost driver b. total costs to be allocated c. total allocated costs d. cost objectives 2. _____ is not a type of cost allocation. a. Allocation of costs to the appropriate organizational unit b. Reallocation of costs from service departments to production departments c. Allocation of costs of a particular organizational unit to products or services d. Reallocation of costs from production departments to service departments 3. Costs are allocated for all the following purposes except to _____. a. predict the economic effects of planning and control decisions b. obtain reimbursement c. determine inventory levels d. compute income and asset valuation 4. _____ is a cost objective. a. Products b. Jobs c. Projects d. All of these answers are correct 5. Type 1 allocations are costs that flow from _____. a. one organizational unit to another b. the accounting system to an organizational unit c. one organizational unit to the product d. the product to the customer 6. Type 2 allocations are cost that flow from _____. a. one organizational unit to another b. the accounting system to an organizational unit c. one organizational unit to the product d. the product to the customer 7. Type 3 allocations are cost that flow from _____....
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- Spring '10
- wip inventory, a. b. c.