In the blank next to the following terms, place the letter A through D corresponding to the best description of that term. 1. Activity 2. Activity driver 3. Cost pool 4. Cost object A. Measurement associated with an activity. B. A group of costs that have the same activity drivers. C. Anything to which costs will be assigned. D. A task that causes a cost to be incurred.

Q: The definition of the cost is the collection of cost data in some organized way by means of an…

A: Cost is amount of cost incurred

Q: Who of the following is an activity-based pricing limitation? Each important action accumulates…

A: Activity based pricing is method where cost is allocated basis the cost drivers.  ABC systems…

Q: It is the collection of cost data in some way through an accounting system O A. Cost allocation B.…

A: Cost accumulation includes the usage of a formal cost accounting structure or system to gather and…

Q: The reason for charging indirect costs to cost centres is to: A. Calculate the cost of direct…

A: Lets understand the basics. Indirect costs are cost which are not directly related to product or…

Q: the actual use of an Activity-based costing system should be informed by two essential lessons,…

A: This question tells about the actual use of an Activity-based costing system :

Q: When assigning indirect costs to a cost object, an ideal cost-allocation base measures ________. A)…

A: A measure of input or output that defines the amount of cost to be allocated to a specific cost…

Q: Which of the following represent the right process order for cost allocation: Select one: O a.…

A: Cost Allocation is the process of identifying and assigning costs to the various cost objects. These…

Q: A cost allocation rule is the method or process used to assign the costs in the ________ to the…

A: Cost allocation refers to the process of identifying and assigning the overheads to the service…

Q: In developing an ABC system, what is the last step? Identify the primary activities and estimate a…

A: The question is based on the concept of Cost Accounting.

Q: 1.An activity that has a direct cause-effect relationship with the resources consumed is a(n) Group…

A: In activity based costing the cost are apportioned based on the respective cost drivers

Q: 1. Indirect costs can be allocated to a cost centre if they: A. Can be identified wholly with the…

A: Comment - We’ll answer the first question since the exact one wasn’t specified. Please submit a new…

Q: Which of the following statements about ABC is not correct? answer choices When forming activity…

A: Answer:-  Activity-based costing (ABC)= Activity-based costing (ABC) is a kind of method of costing…

Q: List and briefly describe the four broad categories of activities identified in stage one of an…

A: Activity based costing system is method of costing in which indirect costs are assigned to the…

Q: t your knowledge of various aspects of full costing. Match the terms on the left with the…

A: Solution: 1. Full costing = E. Establishing the total of both the direct and the indirect costs of…

Q: Activity based costing

A: Definition: Costing: Costing is calculated as an amount spent by the company in order to produce a…

Q: Under activity-based costing, second stage allocation would involve: O a. Defining activity measures…

A: Steps involved in Activity-based costing - Step 1 - identify and classify the activities involved…

Q: According to the activity-based costing system, the average cost of product YBY is closest to

A: Average cost is the component of cost accounting which accumulates all the cost and determine the…

Q: Discuss two potential uses of the ABC cost information for decision-making, to the managers

A: Activity based costing (ABC): It is generally called ABC costing. This method is used in assigning…

Q: TRUE OR FALSE The last step in activity-based costing system is the selection of cost driver

A: Cost driver is used to compute the overhead rate per cost driver.

Q: Define process costing system and provide system. (2 marks) one example of a business applying this…

A: Costing System Costing is one of the important segment in the Managerial Accounting.  In Costing it…

Q: Explain why unit cost is important in the task order costing method.

A: Task Order costing method is used to determine the cost of each order/job/task. This method of…

Q: Costs that must be allocated in order to be assigned to a product or department are called direct…

A: Disclaimer: “Since you have asked multiple questions, we will solve the first question for you. If…

Q: Which one of the following is another name for product costs? Select one: a. Direct costs b. Period…

A: Product cost means the cost of producing one unit of finished goods.

Q: QUESTION 9 Put the following steps in an Activity-Based-Costing system in the proper order. v…

A: Cost Accounting: Cost accounting is characterized as "a methodical arrangement of methodology for…

Q: Which of the following statements is true? Select one: O a. The most complex of the cost estimation…

A: High-low method: It is the method of estimating the variable cost per unit and the fixed costs by…

Q: Under activity-based costing, second stage allocation would involve: a. Calculating activity rates O…

A: ABC costing: Here the costs of products are to be allocated by the activities using cost pools. It…

Q: In an activity-based costing approach, a factor that causes costs is known as a а. cost activator O…

A: Cost driver is the main root cause for the occurrence of cost. It has a higher impact on the total…

Q: Required: 1 Prepare the first-stage allocation of costs to the activity cost pools. 2 Compute the…

A: Solution: -1 Allocation of costs to the activity cost pools Particulars Cleaning carpets…

Q: In Activity-based costing, activity measures may include all of the following except: O a. All of…

A: Activity  based costing  allocates the overhead  costs on basis of cost drivers/activity  driver

Q: :Under activity-based costing, the process of assigning costs to cost objects is called First stage…

A: "Since you have asked multiple questions, we will solve first question for you. If you want any…

Q: What is standard cost ? Explain four purposes of standard costing.    NB: This concept should be in…

A: Solution:- Standard cost means as follows under:-

Q: Discuss the history of ABC method (Use references if you use any) Define the following with…

A: Activity-based costing a method of assigning overheads based on usage of a particular activity. It…

Q: What are the four steps to developing an activity-based costing system?

A: Activity-based costing (ABC):   Activity based costing (ABC) framework was created to manage the…

Q: Describe how process costing is different than job costing and identify at least three differences.

A: Job Costing - It involves customized contracts in which cost for these contracts are calculated and…

Q: Under activity-based costing, second stage allocation would involve: O a. Defining activity measures…

A: Activity-based costing is a method of costing system which focuses on activities. In this method of…

Q: 2. For purposes of making decisi

A: Note: Since you have asked multiple questions, we will solve the first question for you. If you want…

Q: 1. Compute an activity rate for each activity using activity-based costing.

A: Activity based costing means where the product is valued on the basis of actual direct material ,…

Q: QUESTION 9 Identify the proper order of steps to be taken in an Activity-Based-Costing system. A.…

A: >There are various methods to allocate the overhead support costs that are not directly related…

Q: Which of the following statements is true? (You may select more than one answer.)a. Conversion costs…

A:

Q: An activity is: Mutiple Choice a type of duration driver used in activitybased costing systems. en…

A: Solution: An activity is "a bucket in which costs are accumulated in Activity based costing system".…

Q: features

A: Activity-Based costing system is a cost accounting system that uses both unit and non-unit based…

Q: Which of the following is a correct statement? Check only those that are correct. Choose All That…

A: Cost tracing refers to the process of matching a cost with the product which is being produced.…

Q: Is a standard cost an estimated cost? What is the primary objective of employing standard costs in a…

A: Note: As per our guidelines, only the first question can be answered.   Standard Cost & Its…

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.