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ACC 350 Week 10 Quiz 8-Strayer Latest
« on: Feb 1^st, 2016, 2:40am »

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ACC 350 Week 10 Quiz 8-Strayer Latest

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ACC 350 Week 10 Quiz 8-Strayer Latest

This pack of ACC 350 Week 10 Quiz 8 - Strayer Latest comprises:
Objective 9.1
1) Which of the following costs is inventoried when using variable costing?
A) rent on factory building
B) electricity consumed in manufacturing process
C) sales commission paid on each sale
D) advertising costs incurred for the product
2) Which of the following costs is inventoried when using absorption costing?
A) variable selling costs
B) fixed administrative costs
C) variable manufacturing costs
D) fixed selling costs
3) ________ is a method of inventory costing in which all variable manufacturing costs (direct and indirect) are included as inventoriable costs and all fixed manufacturing costs are excluded.
A) Variable costing
B) Mixed costing
C) Absorption costing
D) Standard costing
4) ________ is a method of inventory costing in which all variable manufacturing costs and all fixed manufacturing costs are included as inventoriable costs.
A) Variable costing
B) Mixed costing
C) Absorption costing
D) Standard costing
5) Which of the following is true of absorption costing?
A) It expenses marketing costs as cost of goods sold.
B) It treats direct manufacturing costs as a period cost.
C) It includes fixed manufacturing overhead as an inventoriable cost.
D) It treats indirect manufacturing costs as a period cost.
6) Which of the following is true of variable costing?
A) It expenses administrative costs as cost of goods sold.
B) It treats direct manufacturing costs as a product cost.
C) It includes fixed manufacturing overhead as an inventoriable cost.
D) It is required for external reporting to shareholders.
7) In ________, fixed manufacturing costs are included as inventoriable costs.
A) variable costing
B) absorption costing
C) throughput costing
D) activity-based costing
Cool

________ method includes fixed manufacturing overhead costs as inventoriable costs.
A) Variable costing
B) Absorption costing
C) Throughput costing
D) Activity-based costing
9) Which of the following costs will be treated as period costs under absorption costing?
A) raw materials used in the production
B) sales commission paid on sale of product
C) depreciation on factory equipment
D) rent for factory building
10) Under absorption costing, fixed manufacturing costs ________.
A) are period costs
B) are inventoriable costs
C) are treated as an expense
D) are sunk costs
11) ________ is a method of inventory costing in which only variable manufacturing costs are included as inventoriable costs.
A) Fixed costing
B) Variable costing
C) Absorption costing
D) Mixed costing
12) Variable costing regards fixed manufacturing overhead as a(n) ________.
A) administrative cost
B) inventoriable cost
C) period cost
D) product cost
13) The only difference between variable and absorption costing is the expensing of ________.
A) direct manufacturing costs
B) variable marketing costs
C) fixed manufacturing costs
D) variable administrative costs
14) What is the inventoriable cost per unit using variable costing?
A) $45.00
B) $52.50
C) $65.00
D) $115.00
15) What is the inventoriable cost per unit using absorption costing?
A) $45.00
B) $52.50
C) $115.00
D) $80.00
16) What is the inventoriable cost per unit using variable costing?
A) $20.00
B) $24.00
C) $25.00
D) $31.00
17) What is the inventoriable cost per unit using absorption costing?
A) $25.00
B) $31.00
C) $32.50
D) $38.50
1 Cool

Which of the following inventory costing methods shown below is required by GAAP (Generally Accepted Accounting Principles) for external financial reporting?
A) absorption costing
B) variable costing
C) throughput costing
D) direct costing
19) The two most common methods of costing inventories in manufacturing companies are variable costing and absorption costing.
20) The unit cost of a product is always higher in variable costing than in absorption costing.
21) Under variable costing, lease charges paid on the factory building is an inventoriable cost.
22) Under both variable and absorption costing, research and development costs are period costs.
23) The main difference between variable costing and absorption costing is the way in which fixed manufacturing costs are accounted for.
24) Job costing system is an example of absorption costing.

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