Questions from Cost Accounting


Q: What are the fundamental cost objects in activity-based costing?

What are the fundamental cost objects in activity-based costing? How does activity-based costing work?

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Q: How can a cost hierarchy lead to a more accurate costing system

How can a cost hierarchy lead to a more accurate costing system?

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Q: Which levels of cost hierarchy (under activity-based costing)

Which levels of cost hierarchy (under activity-based costing) are not used in simple costing systems and why are they important?

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Q: Plunge Manufacturing produces outdoor wading and slide pools. The company uses

Plunge Manufacturing produces outdoor wading and slide pools. The company uses a normal-costing system and allocates manufacturing overhead based on direct manufacturing labor-hours. Most of the compa...

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Q: Outline the steps involved in a simple costing system using a single

Outline the steps involved in a simple costing system using a single indirect-cost pool.

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Q: What are some behavioral issues that managers must be sensitive to when

What are some behavioral issues that managers must be sensitive to when implementing ABC systems?

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Q: The cost of cost objects under simple costing systems and under activity

The cost of cost objects under simple costing systems and under activity-based costing are never the same.” Do you agree? Explain.

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Q: What is the key emphasis in Kaizen budgeting?

What is the key emphasis in Kaizen budgeting?

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Q: What are some additional considerations when budgeting in multinational companies?

What are some additional considerations when budgeting in multinational companies?

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Q: Explain why cash budgets are important.

Explain why cash budgets are important.

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