ACCT 505 help A Guide to career/uophelp.com ACCT 505 help A Guide to career/uophelp.com | Page 43

Student Answer: period cost.
incremental cost.
opportunity cost.
None of the above
Question 3. Question : (TCO A) Property taxes on a company's factory
building would be classified as a(n)
Student Answer: variable cost.
opportunity cost.
period cost.
product cost.
Question 4. Question : (TCO C) Within the relevant range, variable costs
can be expected to
Student Answer: vary in total in direct proportion to changes in the
activity level.
remain constant in total as the activity level changes.
increase on a per-unit basis as the activity level increases.
increase on a per-unit basis as the activity level decreases.
None of the above
Question 5. Question : (TCO B) Which of the following statements is
true?
I. Overhead application may be made slowly as a job is worked on.
II. Overhead application may be made in a single application at the time
of completion of the job.
III. Overhead application should be made to any job not completed at
year end in order to properly value the work in process inventory.
Student Answer: Only statement I is true.
Only statement II is true.
Both statements I and II are true.
Statements I, II, and III are true.
Question 6. Question : (TCO B) A job-order cost system is employed
in those situations when
Student Answer: many different products, jobs, or batches of
production are being produced each period.
manufacturing involves a single, homogeneous product that flows
evenly through the production process on a continuous basis.