B. Acy Bachelor of Accountancy Cost and Managerial Accounting

Question 1

Which costing method assigns actual overhead costs to products as they are incurred throughout the year?

Accepted Answer

Actual costing

Answer

Predetermined overhead rate

Answer

Normal costing

Answer

Standard costing

Question 2

In a job-order costing system, manufacturing overhead is applied using a:

Accepted Answer

Predetermined overhead rate

Answer

Actual overhead rate calculated weekly

Answer

Process cost rate

Answer

Variable cost rate only

Question 3

Which of the following is a period cost, not a product cost?

Accepted Answer

Selling and administrative expenses

Answer

Direct materials

Answer

Factory rent

Answer

Factory supervisor wages

Question 4

The contribution margin ratio is calculated as:

Accepted Answer

Contribution margin divided by sales

Answer

Net income divided by sales

Answer

Gross margin divided by sales

Answer

Variable costs divided by sales

Question 5

Under variable costing, fixed manufacturing overhead is:

Accepted Answer

Expensed in full in the period incurred

Answer

Included in product cost

Answer

Capitalized and amortized

Answer

Allocated to ending inventory

Question 6

Which variance measures the difference between actual direct labor hours worked and standard hours allowed, multiplied by the standard rate?

Accepted Answer

Labor efficiency variance

Answer

Labor rate variance

Answer

Labor mix variance

Answer

Labor yield variance