In an activity based cost system; an activity/unit of work or task with differentiated purposes will be classified as __________?

Related Mcqs:

1. The hierarchy which is based on different types of cost allocation and drivers, to categorize cost pool activity is classified as __________?

   A. cost hierarchy
   B. price hierarchy
   C. activity hierarchy
   D. purpose hierarchy

2. In activity based costing system, the description of activity can be classified as __________?

   A. activity list
   B. activity dictionary
   C. active purpose
   D. both A and B

3. If the selling price is $5000, variable manufacturing cost per unit is $1500 and variable marketing cost per unit is $500, then contribution margin per unit will be __________?

   A. $7,000
   B. $3,000
   C. $4,000
   D. $5,000

4. If the contribution margin per unit is $5000, the selling price is $1500 and the variable manufacturing cost per unit is $1200, then per unit cost of marketing will be ___________?

   A. $4,200
   B. $2,300
   C. $7,700
   D. $6,700

5. If the contribution margin per unit is $7500, selling price is $1300 and variable manufacturing cost per unit is $1700, then per unit cost of marketing would be _________?

   A. $4,500
   B. $5,500
   C. $6,500
   D. $7,500

6. If the selling price is $2500, variable manufacturing cost per unit is $1000 and variable marketing cost per unit is $500, then contribution margin per unit will be ___________?

   A. $4,000
   B. $2,500
   C. $1,000
   D. $15,000

7. In the activity based costing method implementation, an output unit level costs are classified as ____________?

   A. indirect costs
   B. direct cost
   C. labor cost
   D. raw material cost

8. Considering the relationship of variables, the relationship in which the activity cost is included in the dependent variable, which has similar cost driver is classified as __________?

   A. heterogeneous relationship
   B. extreme relationship
   C. no homogeneous relationship
   D. homogeneous relationship

9. In an activity based costing implementation, the product’s diverse demand is based on _________?

   A. batch size
   B. complexity
   C. process steps
   D. all of above

10. To decide whether the cost is variable cost or fixed cost with respect to some specific activity depends upon ___________?

    A. units of labor
    B. unit of production
    C. time horizon
    D. units of inventory