Select the correct sentence describing life cycle costing (LCC) Life cycle costing tracks and accumulates only cost connected with every product during the whole life cycle of the product Life cycle costing takes into account all costs incurred in a product life cycle with exception of sunk costs incurred on research and development Life cycle costing is most useful for products with an even weighting of costs over their life Life cycle costing tracks and accumulates cost and revenues connected with product during the whole life cycle of it

Select the correct sentence describing life cycle costing (LCC) Life cycle costing tracks and accumulates only cost connected with every product during the whole life cycle of the product Life cycle costing takes into account all costs incurred in a product life cycle with exception of sunk costs incurred on research and development Life cycle costing is most useful for products with an even weighting of costs over their life Life cycle costing tracks and accumulates cost and revenues connected with product during the whole life cycle of it

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter6: Activity-based, Variable, And Absorption Costing

Section: Chapter Questions

Problem 9MC: Which is not a step In activity-based costing? A. identify the activities performed by the...

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Which is not a step In activity-based costing? A. identify the activities performed by the organization B. identify the cost driver(s) associated with each activity C. compute a cost rate per production D. assign costs to products by multiplying the cost driver rate by the volume of the cost driver units consumed by the product
Match each of the following descriptions with the appropriate costing concept. Generally provides the most useful report for controlling costs Generally provides the most useful report for setting long-term prices May be used in a manufacturing company Includes gross profit on the income statement Variable costing only Both absorption and variable costing Absorption costing only
Which of the following statements is/are true? Statement 1. Lifecycle costing aims to ensure that a profit is generated over the entire life of a product Statement 2. Life cycle costing takes into account all costs over the life of a product, with the exception of costs already spent on the design and development a. Statement 2 only b. Neither statement c. Statement 1 only d. Both statements 1 and 2
Which of the following is not a step involved in activity-based costing? Select one O a Compute a cost rate per cost driver unit or transaction. O bidentify the activities that consume resources and assign costs to those activities -O CAssign costs to products by multiplying the cost driver rate by the volume of cost driver units consumed by the product o d Determine how to reduce the costs of making products by cutting activities
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Please explain the statement below (T/F) thoroughly with examples illustrating the answer. "To compute a product’s profit or product margin, the product’s sales and direct costs are needed in addition to the overhead costs computed in an activity-based costing system."
What are the Costs per unit of Alfa and Beta under traditional and ABC costing systems? What would be the prices of Alpha and Beta traditional and ABC costing systems? Compare the costs and prices calculated in the two systems. Please write down the calculation process!thanks!!!
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A costing approach in which all manufacturing costs are product costs." This statement best describe. a. Normal Costing O b. Variable Costing C. Absorption Costing d. Actual Costing
Activity Based Costing (ABC) is an alternative method for allocating costs to products by estimnating the amout of each activity a product uses. True False