Chapter 8 + 9 - Chapter 8 & 9 Quiz Submitted by rjt5008...

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Submitted by rjt5008 on 4/17/2007 10:35:26 AM Points Awarded 8 Points Missed 2 Percentage 80% 1. When a supplier offers a lower price for a larger quantity, the buyer should: A. order according to the EOQ model. B. determine the preference of senior management. C. never take the quantity discount. D. determine the return on investment. E. always take the quantity discount. Points Earned: 1/1 Correct Answer: D Your Response: D 2. Activity based costing attempts to: A. turn direct costs into indirect costs by tracking the cost drivers behind direct costs. B. turn indirect costs into direct costs by tracking the cost drivers behind indirect costs. C. correct the distortions built into product costing by the way that direct costs are allocated. D. correct the distortions built into product costing by the way that the learning curve is applied to direct labor costs. E. introduce a new way to allocate direct costs that more accurately captures labor and material usage. Points Earned: 1/1 Correct Answer: B Your Response: B 3. Identical prices received from various sources should : A. draw attention if it breaks with historical price behavior. B.
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Chapter 8 + 9 - Chapter 8 & 9 Quiz Submitted by rjt5008...

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