Cost Accounting Quiz 1 - Introduction to Cost Accounting

Historical cost is the ______________

• Cost of servicing a product under warranty

• Cost of servicing as per industrial standards

• Cost of machinery paid in the past

• None of the above

Estimated cost is the ______________

• Cost of servicing a product under warranty

• Cost of servicing as per industrial standards

• Cost of machinery paid in the past

• None of the above

Standard cost is the ______________

• Cost of servicing a product under warranty

• Cost of servicing as per industrial standards

• Cost of machinery paid in the past

• None of the above

Example of an Indirect Material is ______

• Cellphone battery

• Oil grease or coolant for a machinery

• Lead in a pencil

• Water used for Cold drinks

Example of a Direct Labour is ____________

• Wages to Supervisor

• Wages to Brick Workers

• Wages of Storekeepers

• Wages of Factory Manager

Depreciation, Lighting and Heating are examples of ______

• Direct Expenses

• Indirect Expenses

• Direct Cost

• Indirect Cost

Factory Managers Salary is an example of ______

• Direct Expenses

• Indirect Expenses

• Direct Cost

• Indirect Cost

Salary and Rent is an example of ______

• Direct Expenses

• Product Cost

• Period Cost

• None of the above

Cost of starting up a new production shift, which includes utilities and salaries of shift supervisors are ________

• Discrectionay Cost

• Step Cost

• Committed Cost

• Policy & Maintenance Cost

Rent, Insurance to maintain certain facilities and cannot be quickly eliminated are ________

• Discrectionay Cost

• Step Cost

• Committed Cost

• Policy & Maintenance Cost