18. Classifying a cost as either direct or indirect depends upon:     whether the cost can be easily identified with the cost object     the behavior of the cost in response to volume changes     whether the cost is expensed in the period in which it is incurred     whether an expenditure is avoidable or not in the future

Q: Which type of incurred costs are not relevant in decision-making (i.e., they have no bearing on…

A: The costs that have already been incurred are known as Sunk costs. A sunk cost will not change…

Q: A Report a Problem O Revisit Choose the best option Question # 2 With reference to cost…

A: The costs in the production process can be classified on a different basis, for financial reporting…

Q: 6. What are costs that vary in proportions to changes in the activity base?

A: In cost accounting, different types of costs are incurred and accounted for. Some costs do not…

Q: Which of the following items would  not be found on a contribution format income statement?…

A: Cost-Volume-Profit analysis is the technique of managerial accounting, which examines that how…

Q: Question 2 Direct costs: are incurred to benefit a particular accounting period. are incurred due to…

A: Direct cost are those cost which can be directly link to the manufacturing of goods or rendering of…

Q: Costs that vary in proportion to volume changes but not directly are considered

A: Mixed Costs are the costs in which some of its component is fixed, i.e. it doesn't change with the…

Q: How do managers decide whether a cost is adirect or an indirect cost?

A: Cost refers to the amount of money incurred for acquiring a product or manufacturing a product. Cost…

Q: The term relevant range in cost accounting means the range over which a. Cost may fluctuate. b. Cost…

A: Cost accounting is that branch of accounting in which all costs incurred on manufacturing and…

Q: Which of the following statements is true? * O a. A common cost is one type of direct cost. O b. A…

A: The question is related to Choose which of the statement is true.

Q: Give an example of cost which is a part of unavoidable cost.

A: Unavoidable costs are costs which cannot be avoided by discontinuing a product line or which cannot…

Q: How cost accounting covers the problem of price assessment

A: Cost Accounting Cost accounting is also a form of group action accounting that aims to capture a…

Q: A sunk cost can be described as which of the following?     A historical cost     Cannot be…

A: Sunk Cost: The sunk cost is the historical cost that already has been incurred previously, which is…

Q: Which of the following statement is correct for relevant costs? a. It is avoidable, future and…

A: Relevant cost are those costs which are relevant for decision making. A cost is judged to be…

Q: relevant and irrelevant cost

A: Relevant and irrelevant costs are categories of costs based on their effect on decision making.

Q: The term that refers to costs incurred in the past that are not relevant to a decision is: Oa…

A: Sunk cost is the cost which is incurred in tha past and is not relevant for the decision making.…

Q: costs that have characteristics of both variable and fixed cost

A: We know that Fixed costs are costs that remain constant irrespective of the level of activity .…

Q: Which of the following is not a function of Cost Accounting? a. Control cost b. Reporting to owners…

A: Solution: "Reporting to owners"  is not a function of Cost Accounting. This is because the functions…

Q: 6) Explain the difference between an inventoriable (Product) cost and a period cost. What potential…

A: Financial statements are statements which states the business activities performed by the company .…

Q: What type of cost is included in economic costs, but not included in accounting costs?a. Explicit…

A: Economic costs are the costs in which consideration is given to opportunity costs as well.

Q: A changes in direct proportion to changes in the cost-driver level * mixed costs O fixed costs O…

A: If the change in cost and change cost driver level is of direct proportion, it is not fixed cost or…

Q: a) Why are neutral expenes eliminated and imputed cost added to derivee cost from expenses

A: Deriving the cost from expenses is necessary to ascertain the exact cost incurred and to…

Q: 6. The Fixed and variable costs are costs classification according to: A) Cost traceability B)…

A: Fixed cost refers to the costs which remain fixed or constant with the increase or decrease in the…

Q: What is life-cycle and/or full-cost accounting? IS THERE A DIFFERENCE?

A: In this question, we have to tell about life-cycle costing and full cost accounting, whether these…

Q: 4. Explain the difference between product costs and period costs.

A: Product costs are the costs which are applied for the manufacturing or production of products. These…

Q: How is it possible for a cost that is traceable to a segment to become a common cost if thesegment…

A: Fixed Cost: It is a cost which is constant in the short run, it is not related to any change in the…

Q: Describe how changes in the demand, ordering cost,or holding cost affect the EOQ.

A: Conceptual base- Economic Order Quantity (EOQ) is the order quantity that minimizes total inventory…

Q: avoidable and unavoidable cost?

A: Costs are the amount incurred for the different purposes of the business. It is defined in monetary…

Q: What is the difference between cost tracing and allocation of costs?

A: 1. COST TRACING : IT IS THE ASSIGNMENT OF DIRECT COSTS TO A PARTICULAR COST OBJECT .    2.…

Q: Explain how the accounting definition of an asset is related to the choice between absorption and…

A: Absorption costing:   Absorption costing is compulsory under Generally Accepted Accounting…

Q: carrying cost?

A: Which one of the following is a carrying cost Correct answer :-  Cost of obsolescence.

Q: QUESTION 14 A cost that is not easily or conveniently traceable to a cost object is known as:…

A: The costs that are easily tracked to the product are known as the traceable costs.

Q: The following statements are correct excerpt? A. Different costs are used for different purposes B.…

A: Cost accounting means where every cost of doing business is recorded in necessary account and cost…

Q: A direct cost is a cost that is classified by     Traceability     Behaviour     Controllability…

A: Following is the answer to the given question

Q: В. Explain the following: Product costs and Period costs and one example of each. Distinguish…

A: Cost: In accounting, the cost is related to monetary value spend on raw material, services, and…

Q: hat is distinguish between product and period cos

A: Product costs are the costs directly linked with the creation of a product or service for sale.…

Q: 1. The amount of increase or decrease in revenue that is expected from a particular course of action…

A: Differential costing is a technique where differential costs are considered relevant. Differential…

Q: What is the purpose of cost allocation in terms of economic decisions, motivation and justifying…

A: INTRODUCTION: Cost allocation is the process of identifying, accumulating, and assigning costs to…

Q: In Classification Of Cost, What Is A Business Situational Example of the ff:

A: Cost refers to the amount spent by the business on the purchase of raw materials, supplies,…

Q: Which of the following is NOT correct about the classifications of costs? Select one: a. On the…

A: Costs in the business can be classified into different types like on the basis of time, on the basis…

Q: With respect to cost classifications for preparing financial statements:a. What is the total product…

A: a) Total Product cost is the cost which is incurred to manufacture the product that is intended for…

Q: A 'product' cost is a cost that is classified by:    a. behavior       b. function       c.…

A: The cost incurred on production directly or indirectly related to production is said to be product…

Q: Which of the following statements describes variable costs?A. Costs that vary on a per-unit basis as…

A: The financial position of the company can be arrived from the income statement prepared by the…

Q: a. What is the amount of indirect material cost incurred this period? b. Specify whether MOH for the…

A: Raw material means the material purchased and still not enter in to the production lines. Work in…

Q: Which of the following way of cost assignment used to assign accumulated cost with an indirect…

A: Lets understand the basics. Indirect cost are cost which are not directly related to production…

Q: 2. Give an example of cost which is a part of unavoidable cost.

A: An unforeseen expense is a short-term investment on which there is a definite budget commitment.…