ACG 3341 Exam 1 Questions With Complete Solutions
Actual Cost Correct Answers A cost that has occured
Administration Correct Answers Includes accounting, human
resources, information technology and supports the six primary
business functions
Budget Correct Answers Planning tool. The quantitative
expression of a proposed plan of action by management and is
an aid to coordinating what needs to be done to execute that plan
Budgeted Cost Correct Answers A predicted cost
Conversion Cost Correct Answers Refers to direct labor and
indirect manufacturing costs.
CC=DL+OH
Cost Correct Answers A sacrificed or forgone resource to
achieve a specific objective. Has to be measured in dollars
Cost Accounting Correct Answers Measures, analyzes and
reports financial and nonfinancial information related to the
costs of acquiring or using resources in an organization.
Provides information for both management and financial
accounting professionals
Cost Accumulation Correct Answers The collection of cost
data in an organized way by means of an accounting system
, Cost Assignment Correct Answers A general term that
encompasses the gathering of accumulated costs to a cost object
in two ways:
1. Tracing costs with a direct relationship to the cost object
2. Allocating accumulated costs with an indirect relationship to a
cost object
Cost Driver Correct Answers A variable, such as the level of
activity or volume, that causally affects costs over a given time
span
Cost Object Correct Answers Anything for which a cost
measurement is desired. Can be anything, not just a product
Customer Relationship Management Correct Answers CRM is
a strategy that integrates people and technology in all business
functions to deepen relationships with customers, partners and
distributors. Uses technology to coordinate all customer-facing
activities and design and production activities necessary to get
products to customers
Different Types of Firms Correct Answers Manufacturing,
merchandising, and service
Direct Cost Examples Correct Answers Materials, Labor
Direct Materials Correct Answers Resources in-stock and
available for use
Actual Cost Correct Answers A cost that has occured
Administration Correct Answers Includes accounting, human
resources, information technology and supports the six primary
business functions
Budget Correct Answers Planning tool. The quantitative
expression of a proposed plan of action by management and is
an aid to coordinating what needs to be done to execute that plan
Budgeted Cost Correct Answers A predicted cost
Conversion Cost Correct Answers Refers to direct labor and
indirect manufacturing costs.
CC=DL+OH
Cost Correct Answers A sacrificed or forgone resource to
achieve a specific objective. Has to be measured in dollars
Cost Accounting Correct Answers Measures, analyzes and
reports financial and nonfinancial information related to the
costs of acquiring or using resources in an organization.
Provides information for both management and financial
accounting professionals
Cost Accumulation Correct Answers The collection of cost
data in an organized way by means of an accounting system
, Cost Assignment Correct Answers A general term that
encompasses the gathering of accumulated costs to a cost object
in two ways:
1. Tracing costs with a direct relationship to the cost object
2. Allocating accumulated costs with an indirect relationship to a
cost object
Cost Driver Correct Answers A variable, such as the level of
activity or volume, that causally affects costs over a given time
span
Cost Object Correct Answers Anything for which a cost
measurement is desired. Can be anything, not just a product
Customer Relationship Management Correct Answers CRM is
a strategy that integrates people and technology in all business
functions to deepen relationships with customers, partners and
distributors. Uses technology to coordinate all customer-facing
activities and design and production activities necessary to get
products to customers
Different Types of Firms Correct Answers Manufacturing,
merchandising, and service
Direct Cost Examples Correct Answers Materials, Labor
Direct Materials Correct Answers Resources in-stock and
available for use
