Element/s of Cost of a product are: A. Material, Labour and expenses B. Expenses only C. Labour only D. Material only

In the cost equation Y=a+bx, Y represents which of the following? A. fixed costs B. variable costs C. total costs D. units of production

Which of the following is a conversion cost? A. raw materials B. direct labor C. sales commissions D. direct material used

Using the costs listed in the previous problem, classify the costs as either product costs or period costs.

Accumulating costs means that a. costs must be summed and entered on the income statement. b. each cost must be linked to some cost object. c. costs must be measured and tracked. d. costs must be allocated to units of production. e. costs have expired and must be transferred from the balance sheet to the income statement.

Research and development costs are classified as: O a. Inventoriable costs. O b. Product costs. O c. Period costs. O d. Cost of goods sold.

Costs that are treated as assets until the product is sold are called O A. Conversion cost O B. Selling expenses O C. Period Cost O D. Product Costs

Production cost include direct materials, direct labor, and selling costs. True or False

Which cost is classified as a product cost?

How does a product cost differ from a general, selling, and administrative cost? Give examples of each.