14. Which of the following are characteristics of managerial accounting? a. It is geared toward the management of an organization b. It is used to produce specific management reports c. It is not independently audited. d. It is relatively flexible. e. All of the above are characteristics of managerial accounting. ID: A 15. What is a cost object? a. It is an activity that can only be traced to a specific activity or item. b. It is activity performed in the verification of accounts on the financial statements. c. It is any activity or item for which a cost measurement is desired. d. It is any activity or item that is either financial or nonfinancial in nature 16. Which of the following is an example of a cost classification? a. product b. period c. project d. department e. all of the above are examples of a cost classification 17. Which of the following is an example of a direct cost of manufacturing a product? a. reciation b. factory overhead c. cost of raw materials d. administrative salaraies What is the definition of a variable cost? a. a cost that remains constant within a defined range of activity b. a cost that changes in direct proportion to a change in productive output c. a cost that varies with the accounting period d. a cost that is imposed by various agencies 18. 19. Materials and supplies that cannot be traced conveniently to specific products are called a. indirect materials. b. raw materials c. minor materials. d. direct materials. 20. If net sales are $1,000,000, and accounts receivable decreased by $100,000 during the year, then the cash received from customers is a. $900,000 b. $1,000,000 c. $1,100,000 d. $1,200,000 e. $1,300,000