When activity-based costing is used to apply overhead to products, support department costs are referred to...
When activity-based costing is used to apply overhead to products, support department costs are referred to as
a.department activity costs
b.support activity costs
c.activity-based department costs
d.multiple activity costs
In the process of applying overhead using multiple production department rates, overhead costs are directly traced to support and production departments and are then allocated to production departments based on the amount of support activity used by each department.
True
False
The physical units method and the weighted average method are the only two common methods for allocating joint costs.
True
False
Homework Answers
SOLUTION IS -
1. OPTION - C - activity-based department cost
2. TRUE
3. FALSE because there are several more methods available for allocating joint cost.
Add Answer to:
When activity-based costing is used to apply overhead to
products, support department costs are referred to...
When the __________ method is used to apply overhead to products, overhead costs are first directly...
When the __________ method is used to apply overhead to products, overhead costs are first directly traced or distributed to support and manufacturing departments. activity-based costing single plantwide rate multiple production department rates None of the above In the context of activity-based costing, transferring overhead costs to support and production departments is referred to as __________ overhead costs. assigning allocating applying distributing In the context of allocating support department costs to production departments, which of the following methods is the...
When multiple production department rates are used to apply overhead to products, overhead costs are a....
When multiple production department rates are used to apply overhead to products, overhead costs are a. combined with all other support department costs using a single rate and then allocated to products with multiple rates. b. first directly traced or distributed to the products using multiple rates. C. expensed as period costs and direct labor and direct materials are traced to the products using multiple production department rates. Od. first directly traced or distributed to support and production departments and...
8A & C Chapter 5 Study Guide - Support Department and Joint Cost Allocation costs by...
8A & C
Chapter 5 Study Guide - Support Department and Joint Cost Allocation costs by the 7 5. allocate support department San What is the correct sequence of events for allocating support department costs to products regardless of the method (single plantwide rate, multiple production department rates, or activity-based costing) chosen for the allocation process? 1. directie Trace and distribute overhead COSS to Support & production departments. 2. Select a cost driver for each department 3.determine the usage of...
When a single plantwide overhead rate is used to apply overhead to products, support department costs...
When a single plantwide overhead rate is used to apply overhead to products, support department costs are a.impossible to trace. b.allocated with multiple drivers using a single rate. c.nonexistent, because a single plantwide rate cannot be used when a company has support departments. d.combined with all other overhead costs. Which of the following statements regarding direct costs is true? a.All direct costs of a support department are accumulated in the department, and general factory overhead is never assigned to the...
A key difference between using multiple production department rates and activity-based costing is a. the multiple...
A key difference between using multiple production department rates and activity-based costing is a. the multiple production department rate method is used to distribute general and administrative costs to production departments and activity-based costing is used to distribute overhead costs to production activities b. the multiple production department rate method is used to distribute overhead costs to production departments and activity-based costing is used to distribute overhead costs to production activities c. the multiple production department rate method is used...
Mastery Problem: Activity-Based Costing (Advanced) Activity-Based Costing Traditionally, Overhead cost: Sometimes referred to as "factory overhead,"...
Mastery Problem: Activity-Based Costing (Advanced) Activity-Based Costing Traditionally, Overhead cost: Sometimes referred to as "factory overhead," this is an indirect cost that is not directly tied to the production of units, yet nonetheless must be built into product cost in order to appropriately price it. Examples are managerial salaries, rent expense, setup costs, and property taxes.overhead costs are assigned based arbitrarily on the rate of either Direct labor: This is a labor cost directly associated with the production of goods...
Which of the following statements concerning the use of support department and joint cost allocations for...
Which of the following statements concerning the use of support department and joint cost allocations for performance evaluations is not true? a. A manager may not be responsible for the allocation of support department costs if he or she cannot control the square footage of the areas upon which cost allocations are based. b. A manager may miss a performance target because direct materials costs are too high. c. A manager may miss a performance target because he or she...
19) An activity based costing system uses which of the following procedures? a) Overhead costs are...
19) An activity based costing system uses which of the following procedures? a) Overhead costs are traced to departments, then costs are traced to products. b) Overhead costs are traced to activities, then costs are traced to products. c) Overhead costs are traced directly to products. d) All overhead costs are expenses as incurred. Answer: (2 points)
Activity-based and department rate product costing and product cost distortions Instructions Amount Descriptions Factory Overhead Rates...
Activity-based and department rate product costing and product cost distortions Instructions Amount Descriptions Factory Overhead Rates Factory Overhead Costs Instructors Black and Sue Sports Inc. manufactures two products onboards and is the factory overhead incurred is as follows: 1 Indirect labor 350700 15600000 Cutting Department 3 Finishing Department 19200000 S855000.00 The activity base associated with the two production departments is direct labor hours. The Indirect labor can be assigned to two different activities as follows: Activity Base Budgeted Activity Cost...
Miller Safety Equipment uses multiple production department rates to apply overhead to products. The company will...
Miller Safety Equipment uses multiple production department rates to apply overhead to products. The company will allocate support department costs to production departments based on the amount of support activity used by the entire production facility used by the department in the prior month used by the department budgeted by the department
When multiple production department rates are used to apply overhead to products, overhead costs are a. combined with all other support department costs using a single rate and then allocated to products with multiple rates. b. first directly traced or distributed to the products using multiple rates. C. expensed as period costs and direct labor and direct materials are traced to the products using multiple production department rates. Od. first directly traced or distributed to support and production departments and...
8A & C
Chapter 5 Study Guide - Support Department and Joint Cost Allocation costs by the 7 5. allocate support department San What is the correct sequence of events for allocating support department costs to products regardless of the method (single plantwide rate, multiple production department rates, or activity-based costing) chosen for the allocation process? 1. directie Trace and distribute overhead COSS to Support & production departments. 2. Select a cost driver for each department 3.determine the usage of...
19) An activity based costing system uses which of the following procedures? a) Overhead costs are traced to departments, then costs are traced to products. b) Overhead costs are traced to activities, then costs are traced to products. c) Overhead costs are traced directly to products. d) All overhead costs are expenses as incurred. Answer: (2 points)
Activity-based and department rate product costing and product cost distortions Instructions Amount Descriptions Factory Overhead Rates Factory Overhead Costs Instructors Black and Sue Sports Inc. manufactures two products onboards and is the factory overhead incurred is as follows: 1 Indirect labor 350700 15600000 Cutting Department 3 Finishing Department 19200000 S855000.00 The activity base associated with the two production departments is direct labor hours. The Indirect labor can be assigned to two different activities as follows: Activity Base Budgeted Activity Cost...
Most questions answered within 3 hours.
-
You are attempting to calculate a firm’s free cash flow to
equity. You know the following...
asked 10 minutes ago -
the following reaction occurs in a balloon containing
N2O2 gas
N2O4(g)=2NO2(g)
will the volume of the...
asked 45 minutes ago -
answer the questions throughout this program
public class Day implements Comparable {
Private Boolean atWork;...
asked 53 minutes ago -
This is C++ code for parking fee management program
#include <iostream>
#include <iomanip>
using namespace std;...
asked 1 hour ago -
The free energy change for the following reaction at 25 °C, when
[Sn2+] = 1.17 M...
asked 2 hours ago -
An MNE is this kind of industry when competition in one country
is essentially independent of...
asked 4 hours ago -
. For this set of questions, determine what
proportion of a normal distribution is located betweeneach...
asked 4 hours ago -
A college student is employed as a door-to-door newspaper
salesman. Historical data suggests that the student...
asked 5 hours ago -
MATLAB HW 11 problem using Switch Case and Input commands
Write a script file that calculates...
asked 5 hours ago -
Considering gravitational time dilation, calculate the time that
passes in Earth’s surface while 1 hour passes...
asked 6 hours ago -
Minitab Problem: Take the Lake Hume June rainfall data and find
use the processes outlined in...
asked 7 hours ago -
X Company is trying to decide whether to continue using old
equipment to make Product A...
asked 7 hours ago