Accounting II Final Exam Questions and
Answers with Verified Solutions | Latest
Updated 2026
consists of DM, DL, MOH Product cost
(indirect labor, indirect
material, other MOH) all
manufacturing costs
includes all selling and Period cost
administrative costs
non-manufacturing costs
a cost that remains constant, Fixed costs
in total, regardless of changes
in the level of activity ex: your
monthly contract fee for your
cell phone may be fixed for
the number of monthly
minutes in your contract
average fixed cost per unit Fixed cost per unit
varies inversely with changes
in activity
a cost that varies in total Variable costs
direct proportion to changes in
the level of activity ex: your
total texting bill may be based
on how many texts you send
, remains constant Variable cost per unit
contains both variable and Mixed costs
fixed elements ex: utility cost
used when: Job Order Costing
- many different products, with
individual unique features, are
produced each
period-products are
manufactured to individual job
order-the unique nature of
each order requires tracing or
allocating costs to each job,
and maintaining cost records
for each job costing allocates
costs to products that are
identified by individual units or
batches costs are accumulated
by the job
averages costs over large Process Costing
numbers of nearly identical
products costs are
accumulated by processing
dept.
include any materials that go Raw Material
into the final product
consists of units of production Work in Process
that are only partially
complete and will require
Answers with Verified Solutions | Latest
Updated 2026
consists of DM, DL, MOH Product cost
(indirect labor, indirect
material, other MOH) all
manufacturing costs
includes all selling and Period cost
administrative costs
non-manufacturing costs
a cost that remains constant, Fixed costs
in total, regardless of changes
in the level of activity ex: your
monthly contract fee for your
cell phone may be fixed for
the number of monthly
minutes in your contract
average fixed cost per unit Fixed cost per unit
varies inversely with changes
in activity
a cost that varies in total Variable costs
direct proportion to changes in
the level of activity ex: your
total texting bill may be based
on how many texts you send
, remains constant Variable cost per unit
contains both variable and Mixed costs
fixed elements ex: utility cost
used when: Job Order Costing
- many different products, with
individual unique features, are
produced each
period-products are
manufactured to individual job
order-the unique nature of
each order requires tracing or
allocating costs to each job,
and maintaining cost records
for each job costing allocates
costs to products that are
identified by individual units or
batches costs are accumulated
by the job
averages costs over large Process Costing
numbers of nearly identical
products costs are
accumulated by processing
dept.
include any materials that go Raw Material
into the final product
consists of units of production Work in Process
that are only partially
complete and will require
