Fundamentals of Cost Accounting, Chapter 1: Information for Decision Making Activities with correct answers

Value Chain - Correct AnswersThe set of activities that transforms raw materials and resources into goods and services end users purchase and consume Value-added Activities - Correct Answersare those that customers perceive as adding utility to the goods or services they purchase Supply Chain - Correct Answersincludes the set of firms and individuals that sells goods and services to the firm Distribution Chain - Correct Answersincludes the set of firms and individuals that buys and distributes goods and services from the firms Financial Accounting - Correct Answersis the field of accounting that reports financial position and income according to accounting rules Cost Accounting - Correct Answersis the field of accounting that measures, records, and reports information about costs Nonvalue-added Activities - Correct Answersactivities that do not add value to the goods or services from the customer's perspective Cost-benefit Analysis - Correct Answersprocess of comparing benefits (often measured in savings or increased profits) with costs associated with a proposed change within an organization Cost Driver - Correct Answersa factor that causes, or "drives," costs Differential Costs - Correct Answersare those that differ among or between alternatives [between costs that are being compared] Differential Revenues - Correct Answersare the revenues that change in response to a particular course of action Responsibility Center - Correct Answersa specific unit of an organization assigned to a manager who is held accountable for its operations and resources Budget - Correct Answersa financial plan