External failure costs include all of the following costs except those related to: a. Lost sales and lost customer. b.Warranty obligations c. Product liability suits d. Product field testing.

Q: Which of the following cost items should be classified as an external failure cost on a cost of…

A: The question is related to quality cost. The quality cost is classified into two1. Cost of achieving…

Q: Which of the following is an example of a cost item that should be classified as an internal failure…

A: This question deals with the cost of quality or quality cost. Cost of quality means a cost which is…

Q: In a process account, abnormal losses are valued: A. at their scrap value. B. the same as good…

A: 1 An odd loss happens whilst anticipated output exceeds real output. 2 The scrap value of an odd…

Q: Spending on testing a product before shipment to customers is what type of quality cost? External…

A: Total Quality Management: Total Quality Management is a method that eliminates wasteful activities…

Q: Which of the following cost includes determining how much to order, cost of invoices, clerical labor…

A: Sunk cost refers to money that has already been spent and which can not be recovered. Sunk costs are…

Q: Kaizen costing aims to reduce costs during the phase of a product's life.

A: 1. The correct answer is: (A) Production    While some sources may suggest that Kaizen costing can…

Q: Spending on testing a product before shipment to customers is which type of quality cost? a.…

A: Total Quality Management: Total Quality Management is a method that eliminates wasteful activities…

Q: Which of the following would not be a period cost? Group of answer choices Sales commissions.…

A: Period costs include those costs which cannot be directly associated with the manufacturing of the…

Q: 1. Which of the following is NOT a key characteristic of Conformance Costs? a) They include expenses…

A: Conformance costs, also known as prevention or appraisal costs, are expenses incurred to ensure…

Q: In using the high-low method, the data which relate to company’s operation during abnormal situation…

A: Solution: In using the high-low method, the data which relate to company’s operation during abnormal…

Q: “Abnormal rework costs should be charged to a loss account, not to manufacturing overhead.”Do you…

A: Rework:Rework is that type of product that is not satisfy the ultimate needs of the consumer but by…

Q: Misleading cost numbers are most likely the result of misallocating: A) direct material costs B)…

A: Cost Accounting: It is the process of collecting, recording, analyzing the cost, summarizing cost,…

Q: To determine if a performance obligation exists,   A. none of the alternatives are correct.   B.…

A: Introduction: Performance obligation: Rendering service or delivering the goods are pending , its a…

Q: Wrong allocation of common costs lead to   A. Inaccurate estimation of cost of products or…

A: Common costs are those costs that are incurred for two or more products simultaneously. Common costs…

Q: The cost of is not included in the cost of production a. Abnormal loss b. Direct costs c. Normal…

A: Cost of production: Cost of production may be defined as the aggregate of all the costs incurred to…

Q: Cost of abnormal wastage is. a. Charged to the product cost b. Charged the costing profit and loss…

A: Abnormal wastage is a wastage which does not occur in the natural course and is usefully in excess…

Q: Describe dropping unprofitable products or segments.

A: Dropping unprofitable products or segments means discontinue a particular product or segment which…

Q: Whether any of the following sentences about abnormal spoiling is true? a. It is considered to be…

A: Spoilage refers to materials or components that have been damaged, which are beyond the capacity of…

Q: Abnormal spoilage in a manufacturing process should be charged to Select the correct rernonce:

A: Abnormal spoilage refers to the wastage or destruction of inventory experienced by an entity beyond…

Q: 2.Costs that are incurred in bringing the inventories to their present location and condition are…

A: Introduction:- Any Costs incurred in bringing the inventories to their present location and…

Q: The type of process loss that should not be allowed to affect the cost of good units is called? a.…

A: Process costing is one of the method of cost accounting, which is used in industries where product…

Q: Which of the following is/are not true about Committed costs   a. They are costs incurred to…

A: Committed cost means the cost which the company has already made the commitment and it is the…

Q: Which of the following is true of abnormal spoilage? a. It is considered to be part of production.…

A: Spoilage refers to materials or components that have been damaged, which are beyond the capacity of…