Which of the following statements is false? While not all xed costs behave as indirect costs, all direct costs behave as variable costs An indirect cost of one cost object may be a direct cost of another cost object Those indirect costs that share the same cost allocation base form cost pools Because of cost-benet tradeoffs, some manufacturing costs may be treated as indirect costs. Which of the following is not a primary function of management accounng information? To gather data and produce information that aid in the development and implementation of corporate strategy To assist external stakeholders in analyzing the nancial performance and position of an organization To support the decision over which customer or product to prioritize and, potentially, drop or replace To contribute information that allows making the most appropriate choice between insourcing and o utsourcing When producing management accounting information The primary goal is to provide accurate information to investors The primary goal is to provide accurate information to suppliers The primary goal is to provide accurate information to managers All of the above Variable costing differs from throughput cosng because Nonmanufacturing costs are not inventoriable only under throughput costing The only inventoriable costs under throughput costing include direct materials costs Variable costing calculates gross margin after the inclusion of variable nonmanufacturing costs None of the above Material and labor costs incurred in manufacturing operations are often examples of which of the following? Direct costs Variable costs lnventoriable costs All of the above Which of the following reasons may explain why ABC concepts can be of great value to service companies? ABC allows for more accurate cost accounting for inventory It promotes more accurate cost of goods sold reporting It helps make nancial reporting more accurate A signicant portion of the cost structure of a service rm is composed of indirect costs Using as the denominator level gives the manager a more accurate idea of the resources needed and used to produce a unit by excluding the cost of unused capacity practical capacity nomal capacity theoretical capacity master-budget capacity