List and explain four purposes of product costing.

Q: After understanding and studying Standard Costing: 1. Which of the following management function is…

A: Hi student Since there are multiple questions, we will answer only first question. If you want…

Q: List at least two positive and two negative features of standard costing systems.

A: Standard Costing:   It is an accounting system that is used by organization to identify the…

Q: Identify the two types of costs that make upa product’s total cost.

A: Product costs are costs that are incurred to form a product that's supposed available to customers.…

Q: Describe three different purposes for computing product costs?

A: Product cost is the cost incurred to manufacture a product, it includes the material cost, labor…

Q: discuss the various costing methods?

A: Various Methods of costing are as follows: 1) Unit Costing 2) Operating Costing 3) Contract Costing…

Q: Explain the distinctions between implicit and explicit costs in four points.

A: The costs in the business are classified as implicit costs and explicit costs.

Q: Name the three inventory methods commonly associated with process costing.

A: Cost accounting system: Cost accounting system of an organization consists of procedures and…

Q: Explain what activity-based costing is, and a brief explanation regarding how ABC improves the…

A: In costing their are different types of overheads and also different types of methods to allocate…

Q: the following standard ca ued by the cost accountin standard costing policy of unit Standard cost

A:

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: A costing approach in which all manufacturing costs are product costs." This statement best…

A: All manufacturing cost will include the direct material , direct labor , variable and fixed…

Q: What are the three common approaches for assigning overhead costs to products?

A:

Q: Activity based costing

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

Q: xplain the main principles of Direct costing

A: Solution Concept Direct costing                 This is a method of costing which is based on the…

Q: Using activity-based costing Activity-based costing requires four steps. List the four steps in the…

A: Activity-based costing: It is a method that helps in finding the activities performed by a company…

Q: Explain activity-based product costing.

A: Activity-based costing (ABC) would be a costing technique that assigns overhead and indirect costs…

Q: List and briefly describe the purpose of each of the four process-costing steps.

A: The purpose of each of the four process-costing steps is given below as,

Q: Give five examples of manufacturing overhead costs. Why are they considered indirect costs?

A: Definition: Manufacturing overhead costs: The costs which does not relate directly with the…

Q: Use T-accounts to showthe flow of costs in ajob-order costing system.

A: Every industry maintains different inventory accounts and every industry can use job order costing.…

Q: What is costing system refinement? Describe three guidelines for refinement.

A: Broad averaging is also known as peanut butter cost is a costing approach of distributing the…

Q: Describe four levels of a cost hierarchy.

A: Cost Hierarchy: Cost hierarchy is a used to classify the cost pool on different basis to determine…

Q: Define product cost. Describe three different purposes for computing product costs

A: Product cost are the cost that are directly related for the manufacturing of product intended for…

Q: List three types of industries that would likely use process costing.

A: Process costing:   Process costing is a method of costing that traces and accumulates direct costs,…

Q: Define the term traditional cost accounting.

A: Traditional costing is described as all of the overhead prices are assembled collectively and then…

Q: List three factors that are important in selecting cost drivers for an ABC system.

A: Cost driver: It is one of the measurements that help the company in tracing directly the number of…

Q: What are the four components of target costing? Why areeach of these components important for target…

A:

Q: Activity Based Costing classified costs into A. Three Groups - material, labour and overhead B.…

A: Under Activity-based costing, indirect costs are divided on the basis of the activity among the…

Q: What are three common features of cost accounting

A: Cost Accounting: Cost accounting refers that branch of accounting, which records and analyzes the…

Q: What are the four steps in preparing a production cost report?

A: There are typically four steps to follow while preparing the cost report of production. These are:…

Q: List three methods to measure cost behavior.

A:

Q: what are the three major components of product costs: direct materials, direct labor, and…

A: The costs of producing a product are referred to as product costs. Direct material, direct labour,…

Q: Identify each of the following costs as either a product cost (PROD) or a period cost (PER).…

A:

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 three criteria for evaluating cost functions and choosing cost drivers.

A: Cost Function:   Cost function represents the basic change comes in the total cost due to the change…

Q: Why is activity-based costing described as a “two-stage” costing method?

A: Definition: Activity-Based Costing: Activity-Based Costing refers to the allocation of the factory…

Q: What are the three common features of cost management?

A: Cost management:Cost management is a type of management accounting that estimates expenses involved…

Q: Describe three guidelines for costing system refinement.?

A: Definition:   Cost system refinement: Cost system refinement associates the overhead cost of…

Q: Give examples of three different levels of costs in a customer-cost hierarchy.

A: Customer Cost Hierarchy: Customer cost hierarchy is a method that helps in the categorization of…

Q: In process costing, why are costs often divided into two main classifications?

A: Processing costing:Processing costing is a tool that is used to ascertain the cost incurred by the…

Q: Choose the three components of product cost from the list below.   a) Indirect material, direct…

A: Product costs seem to be the expenses involved in the production of goods that have been meant for…

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.