The costs associated with storage of finished goods such as spoilage, obsolescence and insurance of goods are classified as ___________?

Related Mcqs:

1. 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

2. 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

3. The normal spoilage is subtracted from total spoilage to calculate _____________?

   A. abnormal spoilage
   B. Gross weighted spoilage
   C. inventoriable spoilage
   D. partial spoilage

4. If the units of normal spoilage are 150 and the total good units manufactured are 1500, then the normal spoilage rate would be __________?

   A. 14%
   B. 15%
   C. 10%
   D. 12%

5. 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

6. 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

7. The customer sustaining costs, customer batch-level costs and customer output-unit level costs are classified as _________?

   A. customer level indirect costs
   B. customer level direct costs
   C. corporate level direct costs
   D. corporate level indirect costs

8. The customer sustaining costs, customer batch-level costs and customer output-unit level costs are classified as _________?

   A. customer level indirect costs
   B. customer level direct costs
   C. corporate level direct costs
   D. corporate level indirect costs

9. 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

10. 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