A. allocation approach
B. unadjusted approach
C. proration approach
D. adjusted approach
Related Mcqs:
- The spread of over allocated overhead and under allocated overhead among work in process, finished goods and goods sold cost is classified as __________?
A. proration approach
B. appreciation approach
C. depreciation approach
D. adjusted approach - The budget sales, plus target ending finished goods inventory, minus beginning finished goods inventory is equal to ___________?
A. budget production
B. planned production
C. setup production
D. stand by production - The costs associated with storage of finished goods such as spoilage, obsolescence and insurance of goods are classified as ___________?
A. carrying costs
B. purchasing costs
C. stock-out costs
D. ordering costs - If an actual indirect cost incur is $35000 and the indirect cost allocated is $43000, then the under allocated indirect cost will be __________?
A. $78,000
B. −$78000
C. −$8000
D. $8,000 - If an actual indirect cost incurred is $25000 and the indirect cost allocated is $23000, then the over allocated indirect cost would be ________?
A. $48,000
B. −$2000
C. $2,000
D. −$48000 - A push through system, according to which goods are manufactured for finished inventory solely, on the basis of forecasted demand can be classified as ___________?
A. in-time production
B. materials requirement planning
C. on-time production
D. pull strategy of production - The sum of beginning work in process inventory units and started units, is subtracted from the sum of ending work in process inventory units and transferred out units of goods, to calculate ____________?
A. Gross weighted spoilage
B. inventoriable spoilage
C. partial spoilage
D. total spoilage - The companies in the industry that purchase the finished goods, and further sell the products into the market are classified as ______________?
A. service sector companies
B. raw material companies
C. manufacturing sector companies
D. merchandising sector companies - The companies that buy the raw materials and convert them into the finished goods for customers are a part of ____________?
A. manufacturing sector companies
B. merchandising sector companies
C. service sector companies
D. raw material companies - The production units that do not meet customer specification, but can be sold to other customers as finished goods are classified as ____________?
A. reduced work
B. spoilage
C. rework
D. scrap
