Describe and compare the cost flow assumptions used to account for inventories.

Q: It is the collection of cost data in some way through an accounting system O A. Cost allocation B.…

A: Cost accumulation includes the usage of a formal cost accounting structure or system to gather and…

Q: the amount of inventory that would be reported on the absorption costing balance sheet is:

A:

Q: Distinguish between costs included in inventories and costs recognized as expenses in theperiod in…

A: Product cost is the cost incurred for manufacturing a product i.e.; it is the total amount of direct…

Q: Define inventory costing system.

A: Inventory cost flow assumptions: These are the methods used by the companies to compute the cost…

Q: Requirements: fill up the question marks and find out the cost of goods manufactured.

A: Cost of goods manufactured can be defined as the total cost being accumulated over the goods beings…

Q: What does the concept of cost of equipment includes? Describe in detail.

A: Property, plant, and equipment: These assets are long-lived economic resources which are owned by…

Q: how do I make a cost of production report?

A:

Q: What does the Work-in-process inventory consist of?

A: Work-in-process inventory consist of materials which are partially completed in the production…

Q: What is a manual factoring cost

A: A type of financial transaction in which a business sells its account receivables to a third party…

Q: Differentiate between Cost audit and Financial audit.

A: An auditing is a process where the auditor examines or inspects various books of accounts, followed…

Q: From the following data find (A) material cost, (B) price cost, (C) direct cost,

A: "Hey, since there are multiple questions posted, we will answer the first question. If you want any…

Q: What is a cost of production report and what information does it show?

A: Production means conversion of raw materials into finished goods and the process involved is…

Q: Describe the account analysis method for estimating a cost function.

A: Definition:   Account Analysis Method: The account analysis method of estimating a cost function…

Q: What guidance does the Codification provide concerning reporting inventories above cost?

A: Inventory management: Inventory management is defined as a set of processes clearly determined for…

Q: bject:cost account

A: Cost of Production report states the cost per Equivalent unit produced and transferred and cost of…

Q: What is the primary difference between the two cost accounting, systems regarding the accumation of…

A: Cost accounting system is a framework that guides the firm to calculate their cost and helps in…

Q: Define cost of equipment.

A: Definition:   Assets: These are the resources owned and controlled by business and used to produce…

Q: Explain the use of costing method in the preparation of production cost report.

A: Cost:   It is an economic value incurred by the business to produce a product or to render a…

Q: Define the term Raw-materials- inventory?

A: Inventory is the materials such as raw materials, finished products, in-process goods that are…

Q: Distinguish between inventoriable costs and period costs.

A: Characterizations of expenses. Inventoriable expenses is characterised as prices that become a part…

Q: objectives of the accumulation and reporting of cost accounting information

A: Cost accounting information is the information regarding costs regarding activities, processes, or…

Q: Prepare a schedule of cost of goods manufactured.

A: Cost of goods manufactured is a statement used for the managerial purpose to show the cost of…

Q: Describe how changes in the demand, ordering cost,or holding cost affect the EOQ.

A: Conceptual base- Economic Order Quantity (EOQ) is the order quantity that minimizes total inventory…

Q: Explain how the accounting definition of an asset is related to the choice between absorption and…

A: Absorption costing:   Absorption costing is compulsory under Generally Accepted Accounting…

Q: Determine the reorder point. order point units Determine the economic order quantity.

A: We know that, Reorder point = average daily usage*lead time + safety stock So here, reorder point is…

Q: Calculate the order quantity that would minimize the cost of item

A: Only the first part is solved, since only that is specified to be solved.

Q: Provide the meaning of material cost and the procedure for estimation of material cost

A: Material costs are those costs incurred to produce a product or provide a service. Any product has a…

Q: Explain the rationale for the ceiling and floor in the lower-of-cost-or-market method of valuing…

A: Definiton: Lower of cost or NRV: The meaning is lower of cost or net realizable value. Inventories…

Q: The following statements are correct objective of cost accounting except:   Ascertainment of cost…

A: Answer: Objective of Cost accounting includes: Ascertainment of cost: It means to calculate the…

Q: What do you mean by cost accounting? Write about its types in brief with examples

A: Accounting is a procedure whereby an individual can record financial transactions of the business.…

Q: In a half page, What are stock out costs and capacity associated costs? What is their relationship…

A: Stockout Costs: A Cost which will arise on shortage of Inventories during the production,  It will…

Q: What is the purpose of a production cost report?

A:

Q: When trying to identify product and period costs, is cash, work inprocess, and raw materials…

A: Product cost:The product cost relates to the manufacturing costs such as direct material, direct…

Q: Identify on which financial statement these costs originally appear. ✓ Period Costs ✓ Product Costs…

A:

Q: Define “cost” as applied to the valuation of inventories.

A:

Q: The purpose of costing are as follows EXCEPT:   Price products Make decisions record cost Formulate…

A: The purpose of costing  1. To fix the price of the product 2.  For decision making  3.  For…

Q: total material handling cost should be allocated

A: Particulars Specialty Windows Wall Mirrors Total Total expected materials move (A) 900 300…

Q: Which of the following statements is true?     Direct costs are allocated to cost objects using a…

A: There are two type of costs incurred and accounted for in business. It can be direct costs or…

Q: With respect to cost classifications for preparing financial statements:a. What is the total product…

A: a) Total Product cost is the cost which is incurred to manufacture the product that is intended for…

Q: Which of the following material issue pricin method considers the prices as well as the quantities…

A: Solution: "Weighted average method" considers the prices as well as the quantities of materials…

Q: Which of the following way of cost assignment used to assign accumulated cost with an indirect…

A: Lets understand the basics. Indirect cost are cost which are not directly related to production…

Q: Explain an example of journal entry for the transfer in costs.

A: Transferred in cost: It can be defined as the accumulated costs, incurred in relation to a product…