Acct 2920 Ch 2 In-Class Cost Terms Refresher

Product costs include which of the following:

• Direct Materials

• Direct Labor

• Selling Costs

• Administrative Costs

• Manufacturing Overhead

Period costs include which of the following:

• Direct Materials

• Direct Labor

• Selling Costs

• Administrative Costs

• Manufacturing Overhead

For Hostess, the cost of flour and sugar to make Twinkies is:

• Direct Materials

• Direct Labor

• Manufacturing Overhead

• Nonmanufacturing Cost

For Hostess, salary paid to the bakery (factory) manager is:

• Direct Materials

• Direct Labor

• Manufacturing Overhead

• Nonmanufacturing Cost

For Hostess, wages paid to me is:

• Direct Materials

• Direct Labor

• Manufacturing Overhead

• Nonmanufacturing Cost

For Hostess, the cost of cleaning supplies to clean the bakery ovens is:

• Direct Materials

• Direct Labor

• Manufacturing Overhead

• Nonmanufacturing Cost

For Hostess, wages paid to the factory workers making Donettes is:

• Direct Materials

• Direct Labor

• Manufacturing Overhead

• Nonmanufacturing Cost

For Hostess, amounts paid for an advertisement for Kazbars is:

• Direct Materials

• Direct Labor

• Manufacturing Overhead

• Nonmanufacturing Cost

For a fixed cost, the total cost ​ (a)   and the cost per unit ​ (b)   as activity changes.

• stays the same
• changes
• increases
• decreases

For a variable cost, the total cost ​ (a)   and the cost per unit ​ (b)   as activity changes.

• changes
• stays the same
• increases
• decreases