Reference no: EM13570943

If you know these and get them right I will have a few more coming. If you don't know the answers don't respond. A sentence explanation is all I need or just do the calculations.

1.With activity-based costing, the goal is to

• Develop a product cost that captures the amount of each resource consumed by the activities performed to produce a specific product.
• Develop a product cost that allocates manufacturing overhead to each resource consumed by the activities performed to a group of similar products.
• Develop a product cost that eliminates all waste such as machine down time and defective products.
• None of the above.

2.The main reason for generating new information provided by activity-based costing is

• To help managers make better decisions.
• To provide employees in the accounting department with work to do.
• To calculate variances.
• None of the above.

3.In an activity-based costing system, which of the following is not a category in which activities are classified?

• Product-level
• Operations-level
• Customer-level
• Organization-level

4.Activities that are performed all at once on groups of products is classified as a

• Unit-level activity.
• Group-level activity.
• Batch-level activity.
• None of the above

5.Identifying activities performed in the organization is the first step in developing activity-based product costs. Which of the following is a way to identify these activities?

• Asking employees what they do
• Analyzing industry averages
• Both a and b
• Neither a nor b

6.Which of the following is a reason that employees must estimate how much time employees spend performing each activity?

• So that the budget committee will know how to allocate direct material
• So that the resources consumed by the activities can be calculated
• So that the level of detail will not become too burdensome
• None of the above