CERTIFICATION TEST 2026 QUESTIONS
WITH 100% CORRECT ANSWERS
⩥ If a frozen pizza plant is the cost object, classify each of the following
cost as direct or indirect, respectably: property insurance, cafeteria
worker wages, and janitorial supplies. Answer: All direct
⩥ Product cost Answer: -Are inventoriable costs
-are manufacturing costs
-include direct material, direct labor, and overhead
⩥ Product cost may appear on the balance sheet as an asset Answer:
Product cost may appear on the balance sheet as an asset
⩥ Products and their costs flow through a production facility in the
following order: Answer: raw materials, work-in-process inventory,
finished goods, cost of goods sold
⩥ Objectives of management accounting: Answer: -provide information
for decision making
-provide information for costing of services, products, and other objects
of interest to management