Akbi C

The cycle of service business activities begins with:

• Use of cash or other resources to provide services

• Production process of goods

• Purchase of raw materials

• Storage of goods in the warehouse

In the trading business cycle, the second stage after purchasing merchandise is:

• Sale of merchandise to customers

• Collection of accounts receivable

• Use of cash to buy raw materials

• Storage of merchandise in the warehouse

One of the main differences between the manufacturing business cycle and the service business is:

• Trading businesses do not require cash usage

• Service businesses have a more complex process than manufacturing

• Service businesses do not require storage of goods

• Manufacturing businesses do not require a production process

In the cost accounting cycle for manufacturing companies, the main components of production costs consist of:

• Direct materials cost, direct labor cost, and overhead cost

• Administrative costs, marketing costs, and distribution costs

• Work-in-process costs, storage costs, and distribution costs

• Indirect labor cost, direct production cost, and finished goods cost

The flow of production activities in a manufacturing company starts from:

• Processing raw materials into finished goods

• Storage of finished goods in the warehouse

• Purchase of raw materials

• Sale of finished goods to customers

What is meant by cost of goods manufactured in the production cost report?

• Finished goods that are ready for sale

• Fixed overhead costs

• Total production costs added to the amount produced during the period

• Cost of raw materials purchased during the period

The flow of costs in the ledger accounts involves recording:

• Only direct materials cost

• Only work-in-process cost

• Only finished goods cost

• Direct materials cost, overhead, and wage costs

The type of cost system that uses actual or historical values is called:

• Standard cost system

• Combined cost system

• Historical cost system

• Normal cost system

The cost accumulation method for products produced continuously according to market demand is called:

• Actual Costing

• Process Costing

• Standard Costing

• Job Order Costing

In the cost of goods sold report, the component deducted from the cost of products sold is:

• Overhead costs

• Cost of raw materials

• Ending inventory of finished goods

• Finished goods that are ready for sale