Q1:The primary factor causing a cost is call a

1. cost allocation
2. predetermined manufacturing overhead rate
3. cost driver
4. materials requisition

Q2: A restaurant trying to decide whether it should keep baking its own dinner rolls or whether it should start purchasing the dinner rolls from a local bakery. Dinner roll are served free to all customer. Which of the following costs would be relevant to its decision?

1. Revenue generated from the dinner rolls
2. The original purchase price of the oven currently used to bake the dinner rolls
3. The price the local bakery will charge for the dinner rolls purchased form it
4. The wages paid to the restaurants servers.

Q3: For a publicly traded company, which of the following reports must be audited by an outside agency?

1. Budgets
2. Annual financial budgets
3. Annual financial statements
4. Quarterly financial statements

Q4:Information for external parties about past performance is provided by

1. Planning reports
2. Managerial accounting reports
3. Budget reports
4. Financial accounting reports