TEST BANK and SOLUTION MANUAL for Managerial
Accounting: Creating Value in a Dynamic Business
Environment, 13th Edition by Hilton | Verified Chapters 1 - 17
each | Complete Newest Version
A mixed cost has a minimum cost of having a service available and ready to use -
ANSWER: True
When mixed costs are represented by a straight-line, the steeper the slope the
higher the variable cost per unit - ANSWER: True
_____ costs remain constant in total within the relevant range of activity - ANSWER:
Fixed
A regional sales manager's salary would be a direct cost of the regional office in
which the sales manager works - ANSWER: True
A direct cost can be easily and conveniently traced to a specific cost object -
ANSWER: True
_____ costs remain constant per unit and vary in total - ANSWER: Variable
Mixed costs are also commonly known as _______ costs - ANSWER: semi-variable
_____ costs vary in total, in direct proportion to changes in activity level - ANSWER:
Variable
Within the ____ ____ of activity, cost assumptions are reasonably vaild - ANSWER:
relevant range
Costs that are shared by multiple cost objects in a company are known as _____
costs - ANSWER: common
Assembly-line supervisor salary and factory security guard wages are an example of -
ANSWER: Indirect labor costs
Nails and glue are considered to be - ANSWER: Indirect materials
Factory insurance, factory rent, and administrative salaries are most likely _____
costs - ANSWER: Fixed
Indirect materials and indirect labor are classified as - ANSWER: manufacturing
overhead
Accounting: Creating Value in a Dynamic Business
Environment, 13th Edition by Hilton | Verified Chapters 1 - 17
each | Complete Newest Version
A mixed cost has a minimum cost of having a service available and ready to use -
ANSWER: True
When mixed costs are represented by a straight-line, the steeper the slope the
higher the variable cost per unit - ANSWER: True
_____ costs remain constant in total within the relevant range of activity - ANSWER:
Fixed
A regional sales manager's salary would be a direct cost of the regional office in
which the sales manager works - ANSWER: True
A direct cost can be easily and conveniently traced to a specific cost object -
ANSWER: True
_____ costs remain constant per unit and vary in total - ANSWER: Variable
Mixed costs are also commonly known as _______ costs - ANSWER: semi-variable
_____ costs vary in total, in direct proportion to changes in activity level - ANSWER:
Variable
Within the ____ ____ of activity, cost assumptions are reasonably vaild - ANSWER:
relevant range
Costs that are shared by multiple cost objects in a company are known as _____
costs - ANSWER: common
Assembly-line supervisor salary and factory security guard wages are an example of -
ANSWER: Indirect labor costs
Nails and glue are considered to be - ANSWER: Indirect materials
Factory insurance, factory rent, and administrative salaries are most likely _____
costs - ANSWER: Fixed
Indirect materials and indirect labor are classified as - ANSWER: manufacturing
overhead
