The sum of the practices and processes that an enterprise uses to
manage the total life cycle cost investment in its portfolio of
strategic assets is called _________
Total Cost Management
______ is the application of scientific principles and techniques to
problems of :
- estimation
- cost control
- business planning & management science
- profitability analysis
- project management
- planning & scheduling
Cost Engineering
_______ Is the value of an activity or asset. Generally, this value
is determined by the cost of the resources that are expended to
complete the activity or produce the asset. An example would be the
facilities needed to produce an activity or asset, which would
include the tooling, electricity, taxes, and maintenance, etc.,
necessary to keep the facility available for use. Other costs might
be office supplies, communication costs, travel costs, and security
costs
Cost
Any consumable, except time, required to accomplish an activity are
considered _______. From a total cost and asset management
perspective, _______ may include any real or potential investment in
strategic assets including time, monetary, human, and physical.
Resources, Resources
A resource becomes a cost when it is ______ or consumed in an _____or
project
invested, project
Material, labor, and "other" are categories of _________.
Resources
The product lifecycle is the complete history of a product through
its ______, definition, production, operation, and obsolescence
/______ phases.
concept, disposal
,The distinction between product life cycle and project life cycle is
that the latter does not include the ______ and ______.
operation, disposal
___________ is the systematic numeric method of classifying various
categories of costs for accounting purposes
Code of Accounts
______ is used used in situations where each job is different and is
performed to the customer's specifications. ______ involves keeping
an account of direct costs (labor, machine time, raw materials) and
indirect costs (overheads)
Job Costing, Job Costing
A process is a sequence or independent & linked procedures which
___________ to convert inputs into outputs. These outputs then serve
as inputs for the next stage until a known goal or end result is
reached
consume resources
A _____ is a good, idea, method, information, object, service, etc,
that is the end result of a process & serves as a need or want
satisfierProduct
Product
Product manufactured along with a different product, in a process in
which both are required in the production of another product are
considered _____
Co-products
A key feature of a ____ is that it has low value in comparison with
the principal product(s) & may be discarded or sold
by-product
Types of Manufacturing Operations include _____, ______ run and _____
shop
Process, Batch, Job
This manufacturing operation runs almost continuously making the same
thing. Examples are refining and chemical plants, and very long run
assembly operations.
Process
A ______ characterized by setting up for one product, producing a set
quantity of product, and then shutting down to change over to
producing another product.
Batch Run
A _______ Similar to a batch run operation, except that you only
produce 1 of the item. Each job results in a customized product.
Examples are metal fabrication, prototype, fabrication.
job shop
Roles such as executive/senior management, legal, HR, business
development, etc. These roles are the farthest removed from the
, actual production of discrete product at the various facilities. They
are shared across many production locations and considered ______.
overhead
______ are field/plant support personnel, located at the site. These
resources help the operation run smoothly. These are people like
local payroll, facility maintenance, site project controls, site
senior (office-based) supervisors and management who are shared
across the various products the particular location produces.
Indirects
_______are the remote location people directly involved in producing
the product. These are the easiest to correlate their effort to a
particular product. First line supervisors are also normally
considered ______.
Directs
The owner approaches cost from a _____ point of view. Owners not only
consider the cost of the construction, or process, but ______
supervision
and overhead, implementation costs, cost of money, furniture,
fixtures, equipment( FFE) and other considerations
holistic, internal
Contractors, subcontractors, suppliers only consider their part of
the _______ and are responsible for that alone.
Project costs
Appraising or estimating the worth of something having economic or
monetary value is the general description of ________.
valuation
Valuation in _______ is the determination of the worth of the asset
or that which has been damaged or lost
insurance, insured
Valuation in ________ is the determination of the dutiable value of
imports by the customs authorities.
International Trade
A(n) _________ represents the foregone benefit by choosing one
alternative over another
Opportunity cost
There is a relationship between time and the opportunity to influence
a projects cost. The more time that has elapsed, the ____ the chance
to alter the cost. It is important to make the cost effective
decisions ______ in a project or process to have the most influence
on cost.
less, early
________focuses on external reporting. Maintain the balance sheet
(assets and liabilities) and generate income (revenues less expenses)
and tax statements for the organization _________. Only look at
manage the total life cycle cost investment in its portfolio of
strategic assets is called _________
Total Cost Management
______ is the application of scientific principles and techniques to
problems of :
- estimation
- cost control
- business planning & management science
- profitability analysis
- project management
- planning & scheduling
Cost Engineering
_______ Is the value of an activity or asset. Generally, this value
is determined by the cost of the resources that are expended to
complete the activity or produce the asset. An example would be the
facilities needed to produce an activity or asset, which would
include the tooling, electricity, taxes, and maintenance, etc.,
necessary to keep the facility available for use. Other costs might
be office supplies, communication costs, travel costs, and security
costs
Cost
Any consumable, except time, required to accomplish an activity are
considered _______. From a total cost and asset management
perspective, _______ may include any real or potential investment in
strategic assets including time, monetary, human, and physical.
Resources, Resources
A resource becomes a cost when it is ______ or consumed in an _____or
project
invested, project
Material, labor, and "other" are categories of _________.
Resources
The product lifecycle is the complete history of a product through
its ______, definition, production, operation, and obsolescence
/______ phases.
concept, disposal
,The distinction between product life cycle and project life cycle is
that the latter does not include the ______ and ______.
operation, disposal
___________ is the systematic numeric method of classifying various
categories of costs for accounting purposes
Code of Accounts
______ is used used in situations where each job is different and is
performed to the customer's specifications. ______ involves keeping
an account of direct costs (labor, machine time, raw materials) and
indirect costs (overheads)
Job Costing, Job Costing
A process is a sequence or independent & linked procedures which
___________ to convert inputs into outputs. These outputs then serve
as inputs for the next stage until a known goal or end result is
reached
consume resources
A _____ is a good, idea, method, information, object, service, etc,
that is the end result of a process & serves as a need or want
satisfierProduct
Product
Product manufactured along with a different product, in a process in
which both are required in the production of another product are
considered _____
Co-products
A key feature of a ____ is that it has low value in comparison with
the principal product(s) & may be discarded or sold
by-product
Types of Manufacturing Operations include _____, ______ run and _____
shop
Process, Batch, Job
This manufacturing operation runs almost continuously making the same
thing. Examples are refining and chemical plants, and very long run
assembly operations.
Process
A ______ characterized by setting up for one product, producing a set
quantity of product, and then shutting down to change over to
producing another product.
Batch Run
A _______ Similar to a batch run operation, except that you only
produce 1 of the item. Each job results in a customized product.
Examples are metal fabrication, prototype, fabrication.
job shop
Roles such as executive/senior management, legal, HR, business
development, etc. These roles are the farthest removed from the
, actual production of discrete product at the various facilities. They
are shared across many production locations and considered ______.
overhead
______ are field/plant support personnel, located at the site. These
resources help the operation run smoothly. These are people like
local payroll, facility maintenance, site project controls, site
senior (office-based) supervisors and management who are shared
across the various products the particular location produces.
Indirects
_______are the remote location people directly involved in producing
the product. These are the easiest to correlate their effort to a
particular product. First line supervisors are also normally
considered ______.
Directs
The owner approaches cost from a _____ point of view. Owners not only
consider the cost of the construction, or process, but ______
supervision
and overhead, implementation costs, cost of money, furniture,
fixtures, equipment( FFE) and other considerations
holistic, internal
Contractors, subcontractors, suppliers only consider their part of
the _______ and are responsible for that alone.
Project costs
Appraising or estimating the worth of something having economic or
monetary value is the general description of ________.
valuation
Valuation in _______ is the determination of the worth of the asset
or that which has been damaged or lost
insurance, insured
Valuation in ________ is the determination of the dutiable value of
imports by the customs authorities.
International Trade
A(n) _________ represents the foregone benefit by choosing one
alternative over another
Opportunity cost
There is a relationship between time and the opportunity to influence
a projects cost. The more time that has elapsed, the ____ the chance
to alter the cost. It is important to make the cost effective
decisions ______ in a project or process to have the most influence
on cost.
less, early
________focuses on external reporting. Maintain the balance sheet
(assets and liabilities) and generate income (revenues less expenses)
and tax statements for the organization _________. Only look at
