Questions from Cost Accounting


Q: What special problems arise when evaluating performance in multinational companies?

What special problems arise when evaluating performance in multinational companies?

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Q: Why is it important to distinguish between the performance of a manager

Why is it important to distinguish between the performance of a manager and the performance of the organization subunit for which the manager is responsible? Give an example.

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Q: Esquire Clothing is a manufacturer of designer suits. The cost of

Esquire Clothing is a manufacturer of designer suits. The cost of each suit is the sum of three variable costs (direct material costs, direct manufacturing labor costs, and manufacturing overhead cost...

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Q: Esquire Clothing allocates fixed manufacturing overhead to each suit using budgeted direct

Esquire Clothing allocates fixed manufacturing overhead to each suit using budgeted direct manufacturing labor-hours per suit. Data pertaining to fixed manufacturing overhead costs for June 2017 are b...

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Q: The Sourdough Bread Company bakes baguettes for distribution to upscale grocery stores

The Sourdough Bread Company bakes baguettes for distribution to upscale grocery stores. The company has two direct-cost categories: direct materials and direct manufacturing labor. Variable manufactur...

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Q: The Sourdough Bread Company also allocates fixed manufacturing overhead to products on

The Sourdough Bread Company also allocates fixed manufacturing overhead to products on the basis of standard direct manufacturing labor-hours. For 2017, fixed manufacturing overhead was budgeted at $3...

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Q: The Rotations Corporation is a manufacturer of centrifuges. Fixed and variable

The Rotations Corporation is a manufacturer of centrifuges. Fixed and variable manufacturing overheads are allocated to each centrifuge using budgeted assembly-hours. Budgeted assembly time is 2 hours...

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Q: ProChem, Inc., produces chemicals for large biotech companies. It

ProChem, Inc., produces chemicals for large biotech companies. It has the following data for manufacturing overhead costs during August 2017: Fill in the blanks. Use F for favorable and U for unfavor...

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Q: Atkinson Construction assembles residential houses. It uses a job-costing

Atkinson Construction assembles residential houses. It uses a job-costing system with two direct-cost categories (direct materials and direct labor) and one indirect-cost pool (assembly support). Dire...

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Q: The Lopez Company uses standard costing in its manufacturing plant for auto

The Lopez Company uses standard costing in its manufacturing plant for auto parts. The standard cost of a particular auto part, based on a denominator level of 4,000 output units per year, included 6...

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