Cost Accounting (15th Edition)
Cost Accounting (15th Edition)
15th Edition
ISBN: 9780133428704
Author: Charles T. Horngren, Srikant M. Datar, Madhav V. Rajan
Publisher: PEARSON
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Chapter 2, Problem 2.25E

Cost drivers and functions. The representative cost drivers in the right column of this table are randomized so they do not match the list of functions in the left column.

Function Representative Cost Driver
1. Accounts payable A. Number of invoices sent
2. Recruiting B. Number of purchase orders
3. Network Maintenance C. Number of units manufactured
4. Production D. Number of computers on the network
5. Purchasing E. Number of employees hired
6. Warehousing F. Number of bills received from vendors
7. Billing G. Number of pallets moved
  1. 1. Match each function with its representative cost driver.

Required

  1. 2. Give a second example of a cost driver for each function.
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Cost Accounting (15th Edition)

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