Purchase​ discounts, freight in and receiving costs   A. are used when setting a cost standard for materials   B. should not be considered when setting a cost standard for materials   C. are determined by a​ company's accountants and human resource managers   D. are considered selling costs

Q: ncome from operations is one of the most important items reported by a company. Depending on the…

A: Absorption costing: Absorption costing is used to compute cost of a product. Under this method cost…

Q: Inventoriable costs:     include administrative and marketing costs     are particularly useful in…

A: Inventoriable costs: These include all the expenses that are directly related to the manufacturing…

Q: Management accounting guidelines.  For each of the following items, identify which of the management…

A: Planning and Control Decision:Planning decisions involves selecting organization goals, estimating…

Q: Which of the following is an example of a cost item that should be classified as an internal failure…

A: This question deals with the cost of quality or quality cost. Cost of quality means a cost which is…

Q: Each of the following statements is true EXCEPT: Select one: a. traditional product costing systems…

A: Traditional  costing system  involves  allocation  of overhead and cost. It is a reactive approach.…

Q: Management accounting guidelines. For each of the following items, identify which of the management…

A: The cost-benefit approach indicates the decision-making of management in selecting one option among…

Q: Consider which of the above costs is relevant to the decision situation? a. The cost of existing…

A: Option (b) i.e. The cost of special electrical wiring, in an equipment acquisition decision, is the…

Q: Which of the following is not relevant is not relevant in determining weighted average unit cost in…

A: Cost of beginning inventory is relevant because it is added to the current period cost. Equivalent…

Q: A limitation of transfer prices based on actual cost is that they   Must be adjusted by some…

A: If the transfer price and the actual cost would be same that represents that the company has not…

Q: If manufacturing overhead has been over-applied, the adjusting entry will O increase cost of goods…

A: In case applied Overheads are not equal to actual overhead, it may lead to over-applied or under…

Q: Match each of the following descriptions with the appropriate costing concept. Generally…

A: 1. Generally provides the most useful report for controlling costs= Variable costing only   Reason:…

Q: I. The Cost of Goods Sold of a Merchandising company will include cost of Materials, Labor and…

A: Merchandising company is a company which is engaged in purchase and sale of readymade products. They…

Q: Which of the following cost includes determining how much to order, cost of invoices, clerical labor…

A: Sunk cost refers to money that has already been spent and which can not be recovered. Sunk costs are…

Q: An important feature of a cost center is that a. It uses only monetary information b. It must be an…

A: Solution: The important function of a cost center is to track costs. The manager of a cost center is…

Q: An activity-based costing system that is designed for internal decision-making will not conform to…

A: Activity-based costing: Under this costing, we find out the economic order quantity. In this…

Q: Which of the following would not be a period cost? Group of answer choices Sales commissions.…

A: Period costs include those costs which cannot be directly associated with the manufacturing of the…

Q: O a. None of given answer is correct. O b. Cost of Goods Sold will be lower if the overapplied…

A: The correct answer is:-  b. Cost of goods sold will be lower if the overapplied overhead is closed…

Q: Which of these statement is TRUE for a standard cost system? A) Standard cost systems help managers…

A: Lets understand the basics. Standard cost is a cost which is decide by management to be incurred…

Q: A.Compute for the ending Finished Goods Inventory under Absorption costing B.Compute for the ending…

A: Finished goods are those goods which are ready to sale by the company and no further processes are…

Q: the equivalent units for materials and conversion costs. 2. Compute the unit costs for materials…

A: Answer 1) Equivalent units for material and conversion costs.   Physical units % material %…

Q: Which of the following statements about materials is false? A. Acquisitions of materials are…

A: Cost Accounting: It is the process of collecting, recording, analyzing the cost, summarizing cost,…

Q: Which of the following statement is false?         Multiple Choice   a)The contribution margin…

A: Ans. Absorption costing allocates fixed manufacturing overhead to a product whether or not it is…

Q: Under absorption costing, which of the following costs would not be included in finished goods…

A: Introduction: Absorption costing, often known as "full absorption costing" or "full costing," is an…

Q: Direction: Identify each statement whether it is true or false. Cost of general advertising is…

A: Costs are defined as expenses in monetary terms against supplies, equipment, services, products as…

Q: When production is greater than sales, fixed manufacturing overhead costs are: a. Deferred in…

A: Variable Costing: Variable costing is the method of costing in which only the variable production…

Q: When production is greater than sales, fixed manufacturing overhead costs are a. Deferred in…

A: When production is greater than sales, fixed manufacturing overhead costs are deferred in inventory…

Q: For each of the following items, identify which of the managementaccounting guidelines applies:…

A: Planning and Control Decision: Planning decisions involves selecting organization goals, estimating…

Q: You have been employed as a cost    accountant by Pared Inc.  The president, I.M. Pared, is having a…

A: The following accounts are used to record the flow of costs:- Raw material inventory Labor…

Q: Match each of the following descriptions with the appropriate costing concept.   Clear All…

A: Variable cost is an cost which is not fixed cost it changes with changes in production it is also…

Q: For external reporting purposes, costs must be classified into only three categories. (2) Cost of…

A: Correct Option: a. BOTH statements are FALSE

Q: What factor, related to manufacturing costs, causes the difference in net earnings computed using…

A: The question is related to Marginal Costing and is multiple choice question.

Q: Which of the following is the main objectives of cost accounting? a. Maintenance of machinery b.…

A: Cost accounting means where every cost of doing business is recorded in necessary account and cost…

Q: Which of the following statements is false?   Cost allocations such as activity-based costing allow…

A: Activity-Based Costing: Activity-Based Costing method is generally used to allocate the overhead…

Q: Identify the correct statement with respect to manufacturing and merchandising companies in general…

A: Manufacturing is the process of converting the raw material into finished goods and it includes cost…

Q: Cost Accounting 1. Instruction: Indicate whether the cost is variable or fixed based on behavior;…

A: Cost:- these are the expenses incurred in the production of the goods which have a profit margin are…

Q: During the production process, company incurred normal spoilage and abnormal loss. Such losses are…

A: Normal loss are those losses which is unavoidable therefore included in the cost of good units in…

Q: Which of the following is not relevant is not relevant in determining weighted average unit cost in…

A: Process costing is one of the methodology that is used in cost accounting. Under this, output of one…

Q: ment, operating income can be determined using absorption costing or variable costing. Select…

A: Variable costing might exclude certain direct fixed costs, whereas absorption costing covers all…

Q: The entity's management is currently reviewing all costs of production. • If the entity's accounting…

A: Cost of production: It is the cost incurred in producing the goods or providing the services. These…

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.