10:00am 11:20am 1 WP Room 508 Version B Multiple Choice (35+3 = 105) 1. All of t

Question

10:00am 11:20am 1 WP Room 508 Version B Multiple Choice (35+3 = 105) 1. All of the following are true about indirect costs, EXCEPT: A) May be included in manufacturing overhead B) May be included in prime costs C) May include both variable and fixed costs D) Are not easily traced to products or services 2. Which of the following is not an inventoriable cost of a manufacturer? A) Sales commissions paid to sales representatives who sell the products made by the manufacturer B) Plant depreciation incurred C) Property taxes on plant D) Wages paid to assembly-line workers Financial accounting provides a historical perspective, whereas management accou emphasizes 3. A) Reports to shareholders B) The future perspective C) Past transactions D) A current perspective 4. Classifying a cost as either direct or indirect depends upon A) the behavior of the cost in response to volume changes B) whether a cost is fixed or variable C) whether the cost can be traced to a particular cost object in an economically feasible way D) whether the cost is expensed in the period in which it is incurred

Explanation / Answer

Answers :

1.Option B (may be included in prime costs)

May be included in prime costs was not true about indirect costs as it is a direct cost.

2.Option C (property taxes on plant )

Property taxes on plant are not an inventoriable cost to the manufacturer.

3.Option B (The Future perspective)

Management accounting emphasizes the future perspective.

4.Option C (Whether direct or indirect depends on whether the cost can be traced to a particular object in an economical feasible way.)

Related Questions

Navigate

• Browse (All)
• Browse 1
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.