Managers use various names for indirect manufacturing costs. Common terms include blank)

Q: explain why GAAP requires full absorption costing (instead of variable costing) if absorption…

A: Introduction:- i)Absorption costing:- Under the absorption costing, The following costs included in…

Q: First: Activity-based management seeks to eliminate waste by allocating costs to products that waste…

A: Solution: First statement is false as "Activity-based management does not seeks to eliminate waste…

Q: Indirect costs are known as: (a)  Avoidable costs (b)  Overheads (c)  Incremental costs (d)…

A: 1) Indirect costs means costs which are not directly related to cost of production. Indirect costs…

Q: allocation bases are

A: Activity-based costing is commonly known as ABC. It is a costing method that allocates indirect…

Q: Production cost include direct materials, direct labor, and selling costs. True or False

A: Cost accounting is one of useful branch of accounting. Under this, different type of costs and…

Q: Manufacturing costs that cannot be traced to the finished product are known as: *

A: Overhead means the cost incurred indirectly in production of goods . For examples , supervisor…

Q: Selling and administrative expenses are considered to be: a. A period cost under variable costing b.…

A: Selling  expenses means the expense incurred while selling the goods like sale men commission , sale…

Q: manufacturing cost and non-manufacturing cost, provide an example of each type.

A: COST is a measurement in monetary terms of the amount of resources used for the purpose of…

Q: Under direct/marginal costing, a unit of product includes which costs? direct material, direct…

A: Marginal costing is the method of determining the operating income. It separately shows the variable…

Q: costing is seen as part of the total life-cycle costing approach, in that cost savings are sought at…

A: “Since you have posted multiple questions, we will provide the solution only to the first question…

Q: The ABC system improves the allocation of​ ________.   A. direct materials   B. sales commissions…

A: ABC system: Activity based cost system is widely used in the manufacturing industry. Under this…

Q: When products and their costs are moved from one process to the next process, these costs are…

A: Process costing is a method of costing used to ascertain the cost of a product at each stage or…

Q: When refining a costing system, the desire to identify direct costs, is primarily drive by the fact…

A: While refining a costing system the main purpose for direct costs is to identify and classify as…

Q: A cost driver is a factor, such as machine-hours, that is used to allocate direct costs to a…

A: Direct costs:Direct cost is simply a cost or price that can directly related to the production of…

Q: Which costs assignment method would you use to assign prime costs to a product: a.direct tracing…

A: Prime cost: prime cost is total of direct cost that is direct material, direct labor and direct…

Q: Costs that can be traced to a unit of product but not in a cost-effective way: (A) Direct Cost (B)…

A: TRACEABLE COST  All Direct Cost are Traceable cost Such as Direct Material & Direct Labour.…

Q: As a cost accounting manager, how can I ascertain the cost of production of product?

A: 1. Understand the production process: The first step to accurately ascertaining the cost of…

Q: Please explain the statement below (T/F) thoroughly with examples illustrating the answer.  "In…

A: in Activity-based costing many numbers of cost pools. In activity-based costing, a product margin…

Q: Under variable costing system only those costs of production that vary (variable) with production…

A: Variable costing is also called marginal costing. Under variable costing all variable cost that is…

Q: Marginal costing and absorption costing are two product costing methods used in the manufacturing…

A: a) Overheads are the expenditure which cannot be conveniently traced to or identified with any…

Q: Direct labor and manufacturing overhead often are combined into a single cost category termed…

A: Lets understand the basics. Costs are divided into several parts which are, (1) Prime cost (2)…

Q: Indirect and common costs often make up a significant portion of the cost of a product. All of the…

A: Indirect costs are expenses that support the overall operation of a business and must be allocated…

Q: Which of the following is NOT an example of Prime Cost? A. Manufacturing wages B. Direct wages C.…

A: Direct cost: It refers to the cost that is incurred on the production and this cost is traceable on…

Q: Which of the

A: A prime cost is the total direct costs of production, including raw materials and labor.. Indirect…

Q: Manufacturing costs include selling and administrative costs. Select one: O a. TRUE O b. FALSE

A: Manufacturing cost: It is a cost incurred for the production of a product like Direct labor, direct…

Q: not easily traceable and are allocated to a cost object u not abbreviate or add any extra spacing in…

A: Direct costs refer to those expenses which can be directly related to a product or a service.

Q: Cost allocation is a general term that refers to identifying accumulated costs with, or tracing…

A: Answer:- Cost allocation:- Identification, agglomeration, and assignment of costs to cost objects…

Q: Define cost accounting, what are the two basic types of product costing. Explain any one of them…

A: Cost accounting is that branch of accounting in which the cost to be incurred for the manufacturing,…

Q: Which of the following statements is true? *   A. The traditional approach to costing uses many…

A: Cost accounting is one of the branches of accounting. Under this, all costs related to the product…

Q: Activity Based Costing (ABC) is an alternative method for allocating costs to products by…

A: Activity based costing is also known as ABC COSTING . Traditional costing applies an predetermined…

Q: 1. Activity based costing (ABC) is an alternative method of allocating overheads. How is ABC useful…

A: Activity Based Costing (ABC) is a method of overhead attribution to products on the basis of cost…

Q: Activity based costing system differs from traditional costing systems in the treatment of, A)…

A: Direct costs are the cost that can be traced on the process and production of goods.

Q: Under variable costing, all fixed manufacturing costs are treated as a a. product cost included in…

A: Product costs are costs incurred in the manufacturing of products during the period. Example:-…

Q: Discuss how traditional methods of allocating overhead to products may not provide a good measure of…

A: The overhead costs are allocated to production using various methods as traditional costing and…

Q: Which of the following line items will not be found in the absorption costing income statement?…

A: The objective of the question is to identify which line item among the given options will not be…

Q: Explain why a manufacturer’s cost of supervising production might be a step-fixed cost.

A: Step-fixed costs: Step-fixed costs remain fixed over a wide range of activity but it jumps to a…

Q: In Classification Of Cost (Marginal costs) What Is A Business Situational Example of the ff:…

A: Cost is the amount which is spend to sold the goods or to provide the service. It is comprises of…

Q: Classify the following manufacturing costs of Business Solutions as either (a) variable (V) or fixed…

A: Answer:   a: Variable cost b: Direct cost

Q: Which of the following is not a manufacturing cost? * Manufacturing overhead O Direct materials O…

A: In cost accounting, There are many types of costs or expenses incurred for the production of the…

Q: In activity-based costing, some manufacturing costs may be excluded from product costs TRUE FALSE

A: Lets understand the basics. Activity based costing is as the name suggest allocate cost based on the…

Q: Classify the following manufacturing costs of Business Solutions as either (a) variable (V) or fixed…

A: Variable cost is the cost which changes with the change in production. With every increase in…