30. Because that a lamp production company, the expense of the insurance allowance on its vehicles that supply lamps to client is best described as a:A. Prime cost.B. Manufacturing overhead cost.C. Period cost.D. Differential (incremental) cost of a lamp.

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33. Production overhead consists of:A. All production costs.B. Indirect materials but not indirect labor.C. All manufacturing costs, except direct materials and direct labor.D. Indirect labor yet not indirect materials.
34. I m sorry of the complying with should no be consisted of as component of manufacturing overhead in ~ a firm that provides office furniture?A. Sheet stole in a paper cabinet make by the company.B. Manufacturing tools depreciation.C. Idle time for straight labor.D. Taxes on a manufacturing facility building
35. I beg your pardon of the following costs would not be included as part of production overhead?A. Insurance allowance on sales vehicles.B. Depreciation of production equipment.C. Lubricants for manufacturing equipment.D. Direct labor overtime premium.
36. Switch cost consists of which of the following?A. Production overhead cost.B. Direct materials and also direct labor cost.C. Straight labor cost.D. Direct labor and manufacturing overhead cost.
37. The advertising expenses that Pepsi occurs to air its commercials throughout the Super key can ideal be defined as a:A. Variable cost.B. Resolved cost.C. Product cost.D. Prime cost.
38. Each of the complying with would be a period cost except:A. The salary of the company president"s secretary.B. The expense of a general accountancy office.C. Depreciation that a maker used in manufacturing.D. Sales commissions.
39. I m sorry of the following expenses is an example of a period rather 보다 a product cost?A. Depreciation on production equipment.B. Wages of salespersons.C. Wages of production maker operators.D. Insurance on production equipment.
40. I m sorry of the following would be thought about a product cost for external financial report purposes?A. Expense of a warehouse offered to save finished goods.B. Price of guided windy tours through the company"s facilities.C. Cost of travel necessary to market the produced product.D. Cost of sand spread out on the manufacturing facility floor come absorb oil from manufacturing machines.
41. I m sorry of the following would no be treated as a product cost for outside financial report purposes?A. Depreciation on a manufacturing facility building.B. Salaries of manufacturing facility workers.C. Indirect labor in the factory.D. Declaring expenses.
42. The salary of the president of a manufacturing agency would it is in classified together which the the following?A. Product costB. Period costC. Production overheadD. Straight labor
43. Conversion prices do not include:A. Depreciation.B. Direct materials.C. Indirect labor.D. Indirect materials.
44. Critical month, when 10,000 units of a product to be manufactured, the price per unit to be $60. At this level that activity, variable expenses are 50% of full unit costs. If 10,500 units are made next month and cost behavior patterns continue to be unchanged the:A. Total variable price will remain unchanged.B. Fixed expenses will increase in total.C. Variable expense per unit will increase.D. Full cost per unit will decrease.
45. Variable cost:A. Boosts on a every unit basis as the number of units developed increases.B. Remains continuous on a every unit basis as the variety of units created increases.C. Stays the exact same in complete as manufacturing increases.D. Decreases on a per unit basis together the variety of units developed increases.
46. I m sorry of the complying with statements regarding fixed expenses is incorrect?A. Expressing fixed costs on a per unit basis generally is the best approach for decision making.B. Fixed prices expressed ~ above a per unit basis will certainly decrease with boosts in activity.C. Total fixed expenses are continuous within the appropriate range.D. Fixed expenses expressed top top a per unit communication will increase with to reduce in activity.
47. The salary payment to the manufacturing manager in a manufacturing facility is:A. A variable cost.B. Part of prime cost.C. Component of conversion cost.D. Both a change cost and a prime cost.AACSB: Reflective Thinkin
48. In ~ the pertinent range, variable cost per unit will:A. Boost as the level of task increases.B. Continue to be constant.C. Decrease as the level of activity increases.D. Nobody of these.
49. The ax "relevant range" means the selection of activity over which:A. Relevant prices are incurred.B. Costs may fluctuate.C. Production may vary.D. The assumptions about fixed and also variable cost actions are fairly valid.
50. An instance of a committed fixed price is:A. A training regimen for salespersons.B. Executive take trip expenses.C. Building taxes ~ above the manufacturing facility building.D. New product research and development.
51. In explicate the expense formula equation Y = a + bX, i beg your pardon of the complying with statements is correct?A. "X" is the dependency variable.B. "a" is the solved component.C. In the high-low method, "b" equals change in activity divided by change in costs.D. Together "X" rises "Y" decreases.
52.Which among the following costs should no be considered a direct expense of serving a certain customer that orders a customizedpersonal computer by phone straight from the manufacturer?A. The price of the tough disk drive mounted in the computer.B. The expense of shipping the computer to the customer.C. The expense of leasing a an equipment on a monthly communication that automatically tests tough disk drives prior to they are set up in computers.D. The cost of packaging the computer system for shipment.
53. The term differential cost refers to:A. A distinction in cost which outcomes from choosing one alternative instead of another.B. The benefit forgone by choosing one alternative instead that another.C. A cost which does no involve any kind of dollar outlay but which is pertinent to the decision-making process.D. A price which proceeds to be incurred also though there is no activity.
54. I m sorry of the following expenses is often necessary in decision making, however is omitted indigenous conventional audit records?A. Resolved cost.B. Sunk cost.C. Possibility cost.D. Indirect cost.

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55. Once a decision is made amongst a number of alternatives, the benefit that is shed by selecting one different over one more is the:A. Realized cost.B. Opportunity cost.C. Switch cost.D. Accrued cost.
58. In September direct labor to be 40% of switch cost. If the production overhead for the month to be $66,000 and the straight materialscost to be $20,000, the direct labor expense was:A. $13,333B. $44,000C. $99,000D. $30,000
59. Aberge Company"s production overhead is 60% of its total conversion costs. If straight labor is $38,000 and if direct materials are$21,000, the production overhead is:A. $57,000B. $88,500C. $25,333D. $31,500
60. Throughout the month the September, straight labor price totaled $11,000 and also direct labor cost was 40% of element cost. If complete manufacturingcosts during September to be $73,000, the production overhead was:A. $16,500B. $27,500C. $62,000D. $45,500
61. A manufacturing company prepays its insurance allowance coverage for a three-year period. The premium for the 3 years is $2,700 and is paid atthe beginning of the first year. Eighty percent that the premium applies to production operations and 20% applies to offering andadministrative activities. What quantities should be considered product and duration costs respectively for the first year that coverage?A. Option AB. Option BC. Choice CD. Choice D
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