Multiple Choice Question 120

In calculating cash flows from operating activities using the indirect method, a loss on the sale of equipment will appear as a(n)

addition to net income.

addition to cash flow from investing activities.

subtraction from cash flow from investing activities.

subtraction from net income.

Multiple Choice Question 105

What is work in process inventory generally described as?

Costs associated with the end stage of manufacturing that are almost always complete and ready for customers

Costs applicable to units that have been started in production but are only partially completed

Costs strictly associated with direct labor

Beginning stage production costs associated with labor costs dealing with bringing in raw materials from the shipping docks

Multiple Choice Question 108

Which of the following isnotviewed as part of accumulating manufacturing costs in a job order cost system?

Raw materials are purchased

Manufacturing overhead is incurred

Factory labor is incurred

Cost of goods sold is recognized

Multiple Choice Question 109

Which of the following isnotviewed as part of assigning manufacturing costs in a job order cost system?

Manufacturing overhead is incurred

Raw materials are used

Completed goods are recognized

Manufacturing overhead is applied

Multiple Choice Question 62

To assign overhead costs to each product, the company

assigns the cost of each activity cost pool in total to one product line.

multiplies the overhead rate by the number of direct labor hours used on each product.

multiplies the rate of cost drivers per estimated cost for the cost pool by the estimated cost for each cost pool.

multiplies the activity-based overhead rates per cost driver by the number of cost drivers expected to be used per product.

Multiple Choice Question 66

Comparing the U.S. to Japan,

activity-based costing is used less than in the U.S.

developing more accurate product costs is less of a priority in the U.S.

U.S. companies show a stronger preference to volume measures such as direct labor hours to assign overhead costs.

labor cost reduction is less of a priority in the U.S.