In cost-plus pricing, the ‘plus’ refers to a component named as ___________?

Related Mcqs:

1. The costs, which consist of interdepartmental cost allocations plus cost of support department are classified as ___________?

   A. complete reciprocal costs
   B. artificial costs
   C. operating costs
   D. flexible operating costs

2. Total transferred-out cost plus normal spoilage is divided by number of goods units produced, to calculate ___________?

   A. cost per good units transferred out
   B. cost per good units transferred in
   C. revenue per good units transferred out
   D. revenue per good units transferred in

3. If the cost of indirect support labor is $5000, equipment maintenance setup cost is $7000 and machinery leasing cost is $4000 then variable fixed cost will be ___________?

   A. $16,000
   B. $12,000
   C. $18,000
   D. $21,000

4. The method of pricing, when two separate pricing methods are used to price, transfer of products from one subunit to another, is called _____________?

   A. dual pricing
   B. functional pricing
   C. congruent pricing
   D. optimal pricing

5. An acquisition cost of raw material is to be used in the manufacturing, and becoming a component of cost object is classified as _________?

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

6. If the budgeted cost in indirect cost pool is $144500 and total quantity of cost allocation base is $165500, then the budgeted indirect cost rate will be __________?

   A. 67.30%
   B. 87.31%
   C. 55.50%
   D. 45.50%

7. If the budgeted cost in indirect cost pool is $139600 and total quantity of cost allocation base is $155600, then the budgeted indirect cost rate would be __________?

   A. 69.72%
   B. 79.72%
   C. 99.75%
   D. 89.72%

8. 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

9. In dependent variable cost pool, the relationship between individual cost items and cost drivers can be classified as ___________?

   A. non homogeneous relationship
   B. homogeneous relationship
   C. an internal relationship
   D. an extreme relationship

10. If the fixed setup cost is $32000 and the variable setup cost is $12000, then the setup cost will be ___________?

    A. $20,000
    B. $34,000
    C. $44,000
    D. $35,000