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