Reference no: EM13938999
1. Describe the two-stage process associated with plantwide overhead rates.
2. Describe the two-stage process for departmental overhead rates.
3. What are nonunit-level overhead activities? Nonunit-based cost drivers? Give some examples.
4. What is meant by ‘‘product diversity''?
5. What is an overhead consumption ratio?
6. What is activity-based product costing?
7. What is an activity dictionary?
8. Explain how costs are assigned to activities.
9. Describe the value of activity-based customer costing.
10. Explain how ABC can help a firm identify its true low-cost suppliers.
11. What is driver analysis? What role does it play in process-value analysis?
12. What are value-added activities? Value-added costs?
13. What are nonvalue-added activities? Nonvalue-added costs? Give an example of each.
14. Identify and define four different ways to manage activities so that costs can be reduced.
15. What is cycle time? Velocity?
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