FUND.ACCT.PRIN.
FUND.ACCT.PRIN.
25th Edition
ISBN: 9781260247985
Author: Wild
Publisher: RENT MCG
Question
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Chapter C, Problem 1QS
To determine

Fill in the blanks nest to following terms using descriptions given from a through d.

Expert Solution & Answer
Check Mark

Answer to Problem 1QS

Solution:

    DescriptionsTerms
    D. A task that causes a cost to be incurred.1. Activity
    A. Measurement associated with an activity.2. Activity driver
    B. A group of costs that have the same activity drivers.3. Cost pool
    C. Anything to which costs will be assigned.4. Cost object

Explanation of Solution

Cost Pool:

A group of cost related to an activity is called cost pool.

Activity:

It is a set of task which is performed by business which operates on activity basis.

Activity driver:

It is measure to determine the frequency and intensity of a particular activity.

Cost Object:

A cost object is the sole reason for incurring any kind of cost by a business.

Conclusion

The descriptions are placed according to the given terms.

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