Costing – Set 5 January 30, 2025 by aasi 0% Report a question What’s wrong with this question? You cannot submit an empty report. Please add some details. 1234567891011121314151617181920212223242526272829303132333435363738394041424344454647484950 Costing – Set 5 Dear ! This is Costing – Set 5 Quiz and it contains 50 questions. Keep Learning! 1 / 50 1) Sales budget variance is subtracted from flexible budget amount to calculate static budget amount constant amount variable amount unstated amount 2 / 50 2) Flexible budget amount is added to flexible budget variance to calculate secondary result static result actual result primary result 3 / 50 3) If flexible budget amount is $27000 and flexible budget variance is $12000, then actual result amount would be $27,000 $39,000 $15,000 $49,000 4 / 50 4) If sales budget variance is $57000 and flexible budget amount is $97000, then static budget amount will be $124,000 $154,000 $164,000 $40,000 5 / 50 5) Which of following is an example of revenue center? segment department investing center sales department marketing department 6 / 50 6) If static budget amount is $6000 and flexible budget amount is $15000, then sales volume variance will be $9,000 $8,000 $12,000 $21,000 7 / 50 7) Costs of all activities for a group of products, rather than individual product can be classified as batch level costs activity level costs input level costs output level costs 8 / 50 8) If flexible budget amount is $82000 and actual result is $45000 then flexible budget amount will be $27,000 $37,000 $97,000 $87,000 9 / 50 9) Subtracted flexible budget amount can form an actual result to calculate constant budget variance static budget variance unstated budget variance flexible budget variance 10 / 50 10) Difference between flexible budget amount and corresponding static budget amount is classified as profit volume variance sales volume variance cost profit variance sales revenue variance 11 / 50 11) Broad’s average use to assign cost of revenue to cost objects will be classified as refined costing system undefined costing refined selling system defined selling system 12 / 50 12) Costs of all activities for individual products or services can be called input-unit level costs activity level costs output-unit level costs purpose level costs 13 / 50 13) If sales budget variance for operating income is $68000 and static budget amount is $19000, then flexible budget amount will be $97,000 $87,000 $47,000 $57,000 14 / 50 14) Costing system, in which individual activities are identified as cost object is considered as allocation costing activity based costing base costing manufactured costing 15 / 50 15) Static budget amount is subtracted from flexible budget amount to calculate the sales budget variance static budget variance resultant budget variance cost budget variance 16 / 50 16) Hierarchy which is based on different types of cost allocation and drivers, is to categorize cost pool activity is classified as purpose hierarchy activity hierarchy price hierarchy cost hierarchy 17 / 50 17) Use of variables to signal whether strategies are effective or ineffective is classified as performing strategy warned strategy evaluating strategy weighted strategy 18 / 50 18) Factors that accelerate process of refining a costing system include product market competitions all of these increase in product diversity increase in indirect costs 19 / 50 19) Difference between budgeted amounts and actual results is classified as mean average weighted average variances standard deviation 20 / 50 20) A manager who is responsible for only cost of company belongs to cost center revenue center profit center investment center 21 / 50 21) If static budget is $208000 and flexible budget amount is $305000, then sales budget variance will be $67,000 $47,000 $57,000 $97,000 22 / 50 22) Number of units are 5000 and per unit price is $60, then flexible budget variable would be $2,000,000 $1,000,000 $3,000,000 $5,000,000 23 / 50 23) Difference between flexible budget amount and corresponding actual result is called static budget variance flexible budget variance resultant variance corresponding variance 24 / 50 24) If static budget amount is $9000, flexible budget amount is $20000, then sales volume variance will be $29,000 $11,000 $10,000 $15,000 25 / 50 25) Costs of undertaken activities is to support individual products are known as product sustaining costs expected sustaining output sustaining input sustaining 26 / 50 26) In activity based costing method implementation, indirect costs are allocated by using the sustained tracing no cost pool support tracing One or two cost pools 27 / 50 27) In activity based costing method implementation, an output unit level costs are classified as direct cost raw material cost indirect costs labour cost 28 / 50 28) Budget which calculates expected revenues and expected costs, based on actual output quantity is named as variable budget fixed budget multiplied budget flexible budget 29 / 50 29) An actual selling price is subtracted from budgeted selling price, and then multiplied to actual sold units to calculate cost variance profit variance selling price variance investment variance 30 / 50 30) In an activity based cost system; an activity/unit of work or task with differentiated purposes will be classified as different task an allocation cost an activity purpose cost 31 / 50 31) Flexible budget amount is $57000 and flexible budget variance is $14000, then actual result amount will be $61,000 $24,000 $71,000 $43,000 32 / 50 32) Manager who is responsible for investments of company, its costs and revenues is known as revenue center investment center cost center profit center 33 / 50 33) If flexible budget amount is $62000 and an actual result is $35000, then flexible budget amount would be $37,000 $27,000 $97,000 $87,000 34 / 50 34) If number of units are 3000 and per unit price is $500, then flexible budget variable will be $2,500,000 $3,500,000 $1,500,000 $4,500,000 35 / 50 35) In activity based costing system, description of activity can be classified as activity list active purpose both a and b activity dictionary 36 / 50 36) Flexible budget amount is $57000 and flexible budget variance is $14000, then actual result amount will be $43,000 $24,000 $71,000 $61,000 37 / 50 37) In an activity based costing implementation, product’s diverse demand is based on process steps batch size all of these complexity 38 / 50 38) An approach in which company under-costs it’s one product and over-costs at least one product is classified as product-price cross subsidizing product cross subsidizing service-cost across subsidizing product-cost cross subsidizing 39 / 50 39) Product which requires low amount of resources, but incur high per unit cost is classified as expected over cost product under costing product over costing expected under cost 40 / 50 40) A manager, who is responsible for both cost and revenues belongs to department of profit center revenue center investment center cost center 41 / 50 41) Larger number of manager subordinates and higher level manager are termed as broader subordinates broader responsibility center activity subordinates activity ordinates 42 / 50 42) Product which requires large amount of resources, but incur low per unit cost is classified as product over costing expected under cost expected over cost product under costing 43 / 50 43) Cost pool category, which have similar cause and effect relationship, with each cost driver uses as an allocation base is classified as heterogeneous cost pool homogenous price pool homogenous cost pool heterogeneous price pool 44 / 50 44) Number of units are multiplied to per unit price, to calculate constant budget fixed budget variable multiple budget variable flexible budget variable 45 / 50 45) Segment of subunit of company, whose manager is responsible for specific set of instructions and activities perform is classified as instruction center responsibility center activity segment subunit center 46 / 50 46) If an actual selling price is $400, an actual result is $250 and an actual units sold are 500, then selling price variance will be $75,000 $45,000 $65,000 $55,000 47 / 50 47) Variance, if used to alert managers before time of problem is called varied warning times warning early warning managers warning 48 / 50 48) Budgeted total cost in indirect cost pool is divided by budgeted total quantity of cost allocation base is to calculate by budgeted direct cost rate budgeted indirect cost rate expected indirect cost rate direct budget percentage 49 / 50 49) An assignment of task for managers, who are accountable for their actions in controlling and budgeting of resources is classified as action plan project accountability action accountability coordinating company effort 50 / 50 50) Type of costs that cannot be traced for individual products but help in supporting an organization are classified as facility sustaining costs individual sustaining costs support tracing sustained tracing Your score isThe average score is 0%🎉 Challenge alert! 💡 Share this quiz with your friends and see who scores the highest! 🏆🤩🔥 LinkedIn Facebook Follow Us @ 0% Restart quiz Exit We’d love to hear your thoughts! 📝 Share your valuable review with us. 🙌 🌟 Thank you for your support! 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