Chapter 3Predetermined Overhead Rates, Flexible Budgets, and
1. Since overhead costs are indirect costs,
a. they require some process of allocation.
b. they can be easily traced to production.
c. a predetermined
Chapter 7Standard Costing and Variance Analysis
1. A primary purpose of using a standard cost system is
a. to make things easier for managers in the production facility.
b. to provide a distinct measure of cost control.
c. to minimize the
Chapter 6Process Costing
1. Which cost accumulation procedure is most applicable in continuous mass-production manufacturing
d. job order
NAT: AACSB: Reflectiv
Chapter 5Job Order Costing
1. Which of the following organizations would be most likely to use a job-order costing system?
a. the loan department of a bank
b. the check clearing department of a bank
c. a manufacturer of processed cheese fo
Chapter 4Activity-Based Management and Activity-Based Costing
1. An objective of activity-based management is to
a. eliminate the majority of centralized activities in an organization.
b. reduce or eliminate non-value-added activities incu