Cornerstones of Managerial Accounting, 5th Edition Solutions manual and test bank Maryanne M. Mowen | Don R. Hansen | Dan L. Heitger

ISBN: Accounting

Category: Technical


Posted on 2014-01-22, by trungnuh.

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Cornerstones of Managerial Accounting, 5th Edition Solutions manual and test bank Maryanne M. Mowen | Don R. Hansen | Dan L. Heitger

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Cornerstones of Managerial Accounting, 5th Edition Solutions manual and test bank Maryanne M. Mowen | Don R. Hansen | Dan L. Heitger

Chapter 2—Basic Managerial Accounting Concepts

TRUE/FALSE

1. It is beneficial to assign indirect costs to cost objects.

ANS: T PTS: 1 DIF: Difficulty: Easy

OBJ: LO: 2-1 NAT: BUSPROG: Analytic

STA: AICPA: FN-Measurement | IMA: Business Economics | ACBSP: APC-27-Managerial Accounting Features/Costs KEY: Bloom's: Knowledge

NOT: 1 min.

2. Price must be greater than cost in order for the firm to generate revenue.

ANS: F PTS: 1 DIF: Difficulty: Easy

OBJ: LO: 2-1 NAT: BUSPROG: Analytic

STA: AICPA: BB-Industry | IMA: Business Economics | ACBSP: APC-09-Financial Statements

KEY: Bloom's: Knowledge NOT: 1 min.

3. Accumulating costs is the way that costs are measured and recorded.

ANS: T PTS: 1 DIF: Difficulty: Easy

OBJ: LO: 2-1 NAT: BUSPROG: Analytic

STA: AICPA: FN-Measurement | IMA: Business Economics | ACBSP: APC-27-Managerial Accounting Features/Costs KEY: Bloom's: Knowledge

NOT: 1 min.

4. Assigning costs involves the way that a cost is linked to some cost object.

ANS: T PTS: 1 DIF: Difficulty: Easy

OBJ: LO: 2-1 NAT: BUSPROG: Analytic

STA: AICPA: FN-Measurement | IMA: Business Economics | ACBSP: APC-27-Managerial Accounting Features/Costs KEY: Bloom's: Knowledge

NOT: 1 min.

5. Assigning costs tells the accountant who spent the money.

ANS: F PTS: 1 DIF: Difficulty: Easy

OBJ: LO: 2-1 NAT: BUSPROG: Analytic

STA: AICPA: BB-Industry | IMA: Business Economics | ACBSP: APC-27-Managerial Accounting Features/Costs KEY: Bloom's: Knowledge NOT: 1 min.

6. A cost object is any item such as products, customers, departments, regions, and so on, for which costs are measured and assigned.

ANS: T PTS: 1 DIF: Difficulty: Easy

OBJ: LO: 2-1 NAT: BUSPROG: Analytic

STA: AICPA: FN-Measurement | IMA: Business Economics | ACBSP: APC-27-Managerial Accounting Features/Costs KEY: Bloom's: Knowledge

NOT: 1 min.

7. Costs are directly, not indirectly, associated with cost objects.

ANS: F PTS: 1 DIF: Difficulty: Easy

OBJ: LO: 2-1 NAT: BUSPROG: Analytic

STA: AICPA: FN-Measurement | IMA: Business Economics | ACBSP: APC-27-Managerial Accounting Features/Costs KEY: Bloom's: Knowledge

NOT: 1 min.

8. Direct costs are those costs that cannot be easily and accurately traced to a cost object.

ANS: F

Direct costs are those costs that can be easily and accurately traced to a cost object.

PTS: 1 DIF: Difficulty: Easy OBJ: LO: 2-1

NAT: BUSPROG: Analytic

STA: AICPA: FN-Measurement | IMA: Business Economics | ACBSP: APC-27-Managerial Accounting Features/Costs KEY: Bloom's: Knowledge

NOT: 1 min.

9. Indirect costs are costs that are not easily and accurately traced to a cost object.

ANS: T PTS: 1 DIF: Difficulty: Easy

OBJ: LO: 2-1 NAT: BUSPROG: Analytic

STA: AICPA: FN-Measurement | IMA: Cost Management | ACBSP: APC-27-Managerial Accounting Features/Costs KEY: Bloom's: Knowledge

NOT: 1 min.

10. Allocation means that an indirect cost is assigned to a cost object using a reasonable and convenient method.

ANS: T PTS: 1 DIF: Difficulty: Easy

OBJ: LO: 2-1 NAT: BUSPROG: Analytic

STA: AICPA: FN-Measurement | IMA: Business Economics | ACBSP: APC-27-Managerial Accounting Features/Costs KEY: Bloom's: Knowledge

NOT: 1 min.


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