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Which of the following costs is not a product? Wages paid to workers for rework on defective products Wages paid to truck loaders who load
- Which of the following costs is not a product?
- Wages paid to workers for rework on defective products
- Wages paid to truck loaders who load finished goods onto outgoing delivery trucks
- Fringe benefits paid to factory workers
- Wages paid to workers to idle time due to machine breakdown in a production department
- ABC differs from traditional product costing because it uses multiple allocation bases and therefore, allocates costs (such as overhead costs) more accurately. This normally results in
- Equalizing set up costs for all product lines
- Lower set up costs being charged to low volume products
- Decreased units costs for low-volume products than is reported by traditional product costing systems
- Substantially greater unit costs for low-volume products than is reported by traditional product costing system.
- The allocation base that would most likely be the best for allocating the indirect costs of marketing function is
- Number of shipments
- Number of sales person
- Number of customer phone calls
- Direct labor hours
- The allocation base that would be most likely to be the best for allocating the indirect costs of the distribution function is
- Number of shipments
- Number of sales person
- Direct labor hours
- Machine hours
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