Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Circle the correct alternative. (10*2=20] 11. Which of the following is normally included in product cost under the variable costing method? Direct materials cost, direct

image text in transcribedimage text in transcribed
Circle the correct alternative. (10*2=20] 11. Which of the following is normally included in product cost under the variable costing method? Direct materials cost, direct W cost, but NOT manufacturing overhead cost Prime cost but NOT conversion cost Prime cost and all conversion cost. Direct materials cost, direct W cost, and variable manufacturing overhead cost. P-PP'?' 12. Fairmont Inc. uses an accounting system that charges costs to the manager who has been delegated the authority to make decisions concerning the costs. For example, if the sales manager accepts a rush order that will result in higher-than-normal manufacturing costs, these additional costs are charged to the sales manager because the authority to accept or decline the rush order was given to the sales manager. This type of accounting system is known as: a. responsibility accounting. b. contribution accounting. c. absorption accounting. d. operational budgeting. 13. Setting up equipment is an example of a: a. unit-level activity. b. batch-level activity. :3. product-level activity. d. facility-level activity. 14. The linear equation Y = a + 12295 often used to express cost formulas. Which of the following representations in this equation is correct? a term represents variable cost in total. The X temi represents total costs. The b term represents variable cost per unit of activity. The Y term represents total xed costs. P'PP'F' 15. An unfavorable labor efciency variance indicates that: a. the actual labor rate was higher than the standard labor rate. b. the labor rate variance must also be unfavorable. c. actual labor hours worked exceeded standard labor hours for the production level achieved. d. overtime labor was used during the period. 16. All other things being equal, which of the following is a consequence of an increase in a division's traceable xed expenses? The overall company operating income will remain the same. The division's contribution margin ratio will decrease. The division's segment margin will decrease. The division's segment margin ratio will remain the same. 9-957!\" 17. During Cummings' most protable year its net income was $25,000. What is the ROI if the investment was $50,000? a. 28%. b.50%. c. 51%. d. 63%. 18. The payback method measures: how quickly investment dollars may be recovered. the cash ow from an investment. the economic life of an investment. the protability of an investment. 22ng 19. Which of the following statements refers to management accounting information? It primarily measures and records business transactions. The reports are generally delayed and historical. There are no regulations governing the reports. The reports are audited so they can be used in confidence by potential investors. 9-.\" 53"!\

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Accountancy And The Changing Landscape Of Integrated Reporting

Authors: Ioana Dragu

1st Edition

1522536221, 9781522536222

More Books

Students also viewed these Accounting questions

Question

differentiate the function ( x + 1 ) / ( x ^ 3 + x - 6 )

Answered: 1 week ago