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1 . ( TCO 1 ) If products are alike , then for costing purposes ( Points : 5 ) 1 ) If products are different , then for costing purposes : 1 . ( TCO 1 ) Evaluating customer reaction of the trade-off of giving up some features of a product for a lower price would best fit which category of management decisions under activity-based management ? ( Points : 5 ) 2 . ( TCO 1 ) Danielle Company produces a special spray nozzle . The budgeted indirect total cost of inserting the spray nozzle is $ 180,000 . The budgeted number of nozzles to be inserted is 60,000 . What is the budgeted indirect cost allocation rate for this activity ? ( Points : 5 ) 3 . ( TCO 2 ) Fixed overhead costs include ( Points : 5 ) 4 . ( TCO 2 ) Information pertaining to Brenton Corporation ' s sales revenue is presented in the following table :
February March April Cash Sales $ 160,000 $ 150,000 $ 120,000 Credit Sales 300,000 400,000 280,000
Total Sales $ 460,000 $ 550,000 $ 400,000
5 . ( TCO 2 ) Budgeting provides all of the following EXCEPT ( Points : 5 ) 5 . Budgeting is used to help companies : 5 . ( TCO 2 ) Financing decisions PRIMARILY deal with : ( Points : 5 ) s6 . ( TCO 3 ) The cost components of an air conditioner include $ 35 for the compressor , $ 11.50 for the sheet molded compound frame , and $ 80 per unit for assembly . The factory machines and tools cost is $ 55,000 . The company expects to produce 1,500 air conditioners in the coming year . What cost function best represents these costs ? ( Points : 5 ) 7 . ( TCO 3 ) Which cost estimation method analyzes accounts in the subsidiary ledger as variable , fixed , or mixed using qualitative methods ? ( Points : 5 ) 8 . ( TCO 4 ) Sunk costs : ( Points : 5 )