Question 9 Which of the following is NOT normally associated with activity-based costing?     A Improved decision-making and pricing B Multiple cost drivers C Reduction of non-value-adding costs D Activity cost pools E I do not wish to answer this question. F High direct labour costs relative to manufacturing overhead costs

Q: When absorption costing is used a. management may be tempted to overproduce in a given period in…

A: Absorption costing is a method of calculating the cost of a product or enterprise by taking into…

Q: Ch. 5 Fixed Costs/Per Unit Pleaes explain the following concept/rule and give an example:  Why do…

A: Fixed cost is a cost which is constant in the short run, it is not related to any change in the…

Q: Why do managers consider Direct Coasts to be more accurate than Indirect  Costs?  How do managers…

A: Direct costs are the costs which are directly identifiable in the manufacturing process.  Indirect…

Q: Which managerial accounting tool is specifically used to analyze the cost behavior of different…

A: Managerial accounting focuses on providing internal financial information that aids management in…

Q: Which of the following statements are false regarding Activity-Based Costing? Select one: O A.…

A: Solution:Correct answer : (d) Activity-based Costing follows the same basic calculation methods as…

Q: Complete the following statements with one of the terms listed here: You may use a term more than…

A: The objective of the question is to fill in the blanks with the appropriate cost terms from the list…

Q: What is variable costing? How does it differ from absorpotion costing? Which can better be used to…

A: Variable Costing is a costing method where variable expenses change in proportion with production.…

Q: Why is absorption costing the method allowable for GAAP yet managers prefer variable costing

A: In variable costing only variable costs are included in the product cost. Fixed costs re considered…

Q: 20 Under variable costing, which of the following costs are treated as period costs? Select one:…

A: Direct materialsPRODUCT COSTSDirect laborPRODUCT COSTSVariable manufacturing overheadPRODUCT…

Q: Explain the effect of a decrease in the level of activity (cost driver) on: (i) total fixed cost…

A: Lets understand the basics. Fixed cost are cost which do not change with level of output. In other…

Q: Describe the behavior of fixed and variable costs as activity levels change. Use graphs to…

A: Answer:-  Fixed cost meaning:- Fixed costs are expenses that remain constant regardless of whether…

Q: What costs are included in the manufacturing of products under variable costing?

A: Lets understand the basics.There are two methods are generally followed for costing in the entity…

Q: activity-based costing systems have a tendency to distort product costs. True or False?

A: The overhead is applied to the production on the basis of predetermined overhead rate. The…

Q: Which costing system is helpful for internal managers when they're trying to make a short- term…

A: Cost Accounting is a process of identification, classification, measurement, and assignment of costs…

Q: 1. Which of the following is a disadvantage of the Variable Costing method? A. The data available…

A: A cost accounting technique known as "variable costing" treats fixed manufacturing costs as period…

Q: Fixed costs expressed on a per unit basis:

A: Variable cost is the cost that varies with the change in output. Whereas, the per unit variable cost…

Q: The scattergraph is a useful tool for:

A: Business managers use the scattergraph method when estimating costs to anticipate operating costs at…

Q: Product costs under variable costing are typically: Group of answer choices A. higher than under…

A:

Q: Estimating costs requires information • analysis, interpretation, decision-making • measurement,…

A: Estimating costs requires information • analysis, interpretation, decision-making • measurement,…

Q: iable costs change in direct proportion to a change in the activity level. True or False?

A: There are two types of one is fixed cost and other is variable cost and both are part of the total…

Q: Which of the following statements is true? O a. Activity-based costs per unit are always greater…

A: The volume based costing represents the cost allocation to a single cost pool. The high volume…

Q: Which of the following statements is true of ABC systems? A) ABC systems are time-driven cost…

A: Activity-based costing (ABC) is a method of assigning overhead based on activities, which are…

Q: In detail discuss what are  the advantages and disadvantages of using FIFO for process costing. In…

A: First-in First-out(FIFO) method under process costing is based on the assumption that at the…

Manufacturing Costs

Manufacturing cost is the total cost of procuring or producing a product. In other words, the manufacturing cost is the cost that an individual or business owner undertakes for the manufacturing of goods.