Cost Accounting - Access Package (Custom)
15th Edition
ISBN: 9781323174418
Author: Horngren
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. Match each function with its representative cost driver.
Required
- 2. Give a second example of a cost driver for each function.
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Cost accounting is an area of accounting concerned with cost determination, cost control and cost analysis. Which of the following is a description of cost control?
a. Refers to the use of cost data by management in decision making.
b. None of the above
c.Refers to the comparison of standards set for costs per unit and with the figures per actual operations so that remedial measures may be adopted if needed.
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Chapter 2 Solutions
Cost Accounting - Access Package (Custom)
Ch. 2 - Define cost object and give three examples.Ch. 2 - Define direct costs and indirect costs.Ch. 2 - Prob. 2.3QCh. 2 - Name three factors that will affect the...Ch. 2 - Define variable cost and fixed cost. Give an...Ch. 2 - What is a cost driver? Give one example.Ch. 2 - What is the relevant range? What role does the...Ch. 2 - Explain why unit costs must often be interpreted...Ch. 2 - Prob. 2.9QCh. 2 - What are three different types of inventory that...
Ch. 2 - Distinguish between inventoriable costs and period...Ch. 2 - Define the following: direct material costs,...Ch. 2 - Describe the overtime-premium and idle-time...Ch. 2 - Define product cost. Describe three different...Ch. 2 - What are three common features of cost accounting...Ch. 2 - Prob. 2.16ECh. 2 - Prob. 2.17ECh. 2 - Classification of costs, service sector. Market...Ch. 2 - Classification of costs, merchandising sector....Ch. 2 - Prob. 2.20ECh. 2 - Variable costs, fixed costs, total costs. Bridget...Ch. 2 - Prob. 2.22ECh. 2 - Prob. 2.23ECh. 2 - Prob. 2.24ECh. 2 - Cost drivers and functions. The representative...Ch. 2 - Prob. 2.26ECh. 2 - Total and unit cost, decision making. Gayles...Ch. 2 - Prob. 2.28ECh. 2 - Prob. 2.29PCh. 2 - Prob. 2.30PCh. 2 - Prob. 2.31PCh. 2 - Prob. 2.32PCh. 2 - Prob. 2.33PCh. 2 - Prob. 2.34PCh. 2 - Prob. 2.35PCh. 2 - Prob. 2.36PCh. 2 - Prob. 2.37PCh. 2 - Prob. 2.38PCh. 2 - Prob. 2.39PCh. 2 - Prob. 2.40PCh. 2 - Prob. 2.41PCh. 2 - Prob. 2.42P
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