1. Which of the following statements about direct cost is/are incorrect? i. A direct cost can be traced in full to the product, service or department that is being costed. ii. A particular cost can be a direct cost or an indirect cost, depending on what is being costed. iji. A direct cost might also be referred to as an overhead cost. iv. Expenditure on direct cost will probably vary every period. A. (iii) only B. (iv) only C. (i) and (iii) only D. (i), (ii), (iii) and (iv) 2. The process of overseeing day-to-day activities and keeping the organization functioning smoothly is called a. Planning b. Decision making. C. Directing. d. Controlling 3. Which of the following combination of cost make up prime cost? a. Direct labor and factory overhead b. Direct materials and indirect labor C. Factory overhead and indirect materials d. Direct labor and Direct Materials 4. Which of the following is an indirect cost in the production of wooden guitar? A. Wages B. Rental C. Wood D. String 5. Financial and Managerial accounting are similar in that both: a. Are mandatory b. Involves summarizing financial data C. Emphasizes equal importance of relevance and reliability d. Emphasizes the organization as a whole