19A1 - Cost Accounting - Basic Cost Management Concept

Which of the following are manufacturing costs?

• Overhead and marketing costs

• Direct raw material costs and direct labor costs

• Administrative and direct labor costs

• Marketing and administrative costs

Which of the following statements about the direct/indirect cost classification is not true?

• Indirect costs are always traced

• The design of operations affects the direct/indirect classification

• Indirect costs are always allocated

• The direct/indirect classification depends on the choice of cost object

Which of the following are types of costs based on traceability?

• Period costs and product costs

• Opportunity costs and sunk costs

• Marginal costs and controllable costs

• Direct costs and indirect costs

...... are the costs that can be easily and conveniently traced to a unit of product or other cost objective.

The costs incurred to generate particular revenue should be recognized as ......... in the same period that the revenue is recognized.