Cost AccountingExam Chapters 1-3
1. The branch of accounting that serves as a bridge between financial and managerial accounting is __________ accounting.
ANS:cost2. Costs that can be conveniently traced to a cost object are referred to as ____________ costs.ANS:direct3. The assumed range of activity that reflects the company’s normal operating range is referred to as the _____________________________.ANS:relevant range4. Another name for inventoriable costs is ______________ costs.ANS:product5. The three stages of production for a manufacturing firm are ______________, ________________, and ______________________.ANS:raw materials, work in process, finished goods6. In a(n) _________ cost system, factory overhead is assigned to an overhead control account and thenallocated to products and services.ANS:normal7. If actual overhead exceeds applied overhead, factory overhead is said to be ______________.ANS:underapplied8. If underapplied or overapplied factory overhead is material, it is prorated among ______________________, _________________________, and _______________________.ANS:Work in Process Inventory, Finished Goods Inventory, Cost of Goods Sold9. A performance measure that assumes all production factors are operating perfectly is referred to as ___________________ capacity.ANS:theoretical10. Consider the regression equation
y = a + bX.
The portion of the equation that represents the variablerate is ________.ANS:
11. A __________________________ is a planning document that presents expected variable and fixedoverhead costs at different activity levels.ANS:flexible budget