Chaper 5 Study Guide Essay

Words: 11134
Pages: 45
Open Document
ch05
Student:

1.

The major limitation of volume-based costing systems is the use of volume-based:
A. Criteria.
B. Standards.
C. Rates.
D. Variances.
E. Restrictions.

2.

Volume-based rates produce inaccurate product cost when:
A. A large share of factory overhead cost is not volume-based.
B. Firms produce a diverse mix of products.
C. Large volumes of a product are manufactured.
D. Both answer A and answer B are correct.
E. None of the answers above is correct.

3.

If the usage of project activities is not proportional to the number of units produced, then some managers will be overcharged and others undercharged under the:
A. Activity-based costing
B. Volume-based costing
C. Overhead costing
D. Process …show more content…
Overstate the cost of low volume products.
B. Understate the cost of low volume products.
C. Understate the cost of high volume products.
D. Understate the cost of all products.
E.Either understate or overstate the cost of high volume products depending on the specific manufacturing factors involved.
23. Which of the following is a batch-level cost driver?
A. Output units.
B. Number of engineering change orders.
C. Number of materials handling transactions.
D. Square feet of plant area occupied.
E. Number of employees.

24. Which of the following activities is a facility-level activity?
A. Materials handling.
B. Plant maintenance.
C. Product inspection.
D. Design engineering.
E. Purchase orders.
25. In an organization that makes furniture, which of the following is a high value-added activity?
A. Using direct materials in production.
B. Inspecting production.
C. Storing finished goods inventory.
D. Moving work-in-process inventory between work stations.
E. Reworking the product to repair defects.
26. Overhead costs are allocated to cost objects in an activity-based costing system in the following manner: A. Overhead costs are traced to departments, then costs are traced to products.
B. Overhead costs are traced to activities, then costs are traced to products.
C. Overhead costs are traced to activities, then costs are traced to departments and then allocated
Show More

Related Documents: Chaper 5 Study Guide Essay

Lipid Prac Report Essay

conclusions 127 Publications 135 Curriculum vitae 138 INTRODUCTION 4 INTRODUCTION environment. Strains which cause outbreaks in hospitals are often resistent against commonly used antimicrobial agents, e.g. Jj-Iactams. In chaper 3 the extensive literature on this subject was critically reviewed. The focus in part 1 was on the current epidemiology of methicillin-resistant S. aureus and in part 2 on nasal carriage. The epidemiology, underlying mechanisms, identification…

Words 4766 - Pages 20

Introduction to Christian Thought Essay

Introduction to Christian Thought Study Guide Week 1: Introduction to Theology Textbook Readings: Towns: Introduction & Ch. 1 1. What year was Jesus born? 4BC in Bethleham, South Palestine to an unknown family 2. When was Christianity made Rome’s National Religion? 313 AD 3. What is the Incarnation? God becoming man and taking on flesh 4. Does the Bible states that Jesus was the creator of the world. Yes (John 1:3; Col. 1:16) 5. Did Jesus claim to have supernatural…

Words 9106 - Pages 37