Question

1)

To apply the budgeted overhead costs to a job, the budgeted overhead rate is multiplied by the _____.

A) actual production in units

B) expected production in units

C) actual amount of cost driver used by the job

D) expected amount of cost driver by the job

2)

The section of the annual report that explains major changes in the income statement, changes in liquidity and capital resources and the impact of inflation is called the ________.

A) notes to the financial statements

B) appendix to the financial statements

C) internal control report

D) management's discussion and analysis

3)

Companies routinely allocate joint product costs to products for purposes of ______.

A) inventory valuation only

B) income determination only

C) decision-making such as further processing of joint products

D) inventory valuation and income determination

4)

Which of the following statement about productivity is FALSE?

A) Productivity is a measure of outputs divided by inputs.

B) The fewer inputs needed to produce a given output, the more productive the organization

C) Inputs and outputs are difficult to measure

D) Productivity measures can be compared over time without making adjustments for inflation.

Answer 1

ANSWER:

Given;

1. To apply the budgeted overhead costs to a job, the budgeted overhead rate is multiplied by the actual amount of cost driver used by the job. ​​​​​​​​​​​​​​option "C" is correct.
2. The section of the annual report that explains major changes in the income statement, changes in liquidity and capital resources and the impact of inflation is called the management's discussion and analysis. option "D" is correct.
3. Companies routinely allocate joint product costs to products for purposes of inventory valuation only. option "A" is correct.
4. Which of the following statement about productivity is FALSE?

• Productivity measures can be compares over time without making adjustments for inflation. option "D" is correct.