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WorksheetsAE 22 Chapter 2 Pre-Lecture Quiz
Total questions: 5
Worksheet time: 6mins
Prime cost and conversion cost share what common element of total cost?
Variable overhead.
Fixed overhead.
Direct materials.
Direct labor.
When a unit of product is the cost object, factory overhead generally is:
An indirect manufacturing cost.
A direct manufacturing cost
Both of the choices.
None of the choices.
For a manufacturing company, which of the following is an example of a period
rather than a product cost?
Depreciation of factory equipment.
Wages of a salesperson.
Wages of machine operators.
Insurance on factory equipment.
Factory rent is
A prime cost and an inventoriable cost.
A prime cost and a period cost.
A conversion cost and an inventoriable cost.
A conversion cost and a period cost.
Which of the following statement is/are true?
Factory rent is included in manufacturing overhead, but office rent is a
period cost.
Cost accounting is not needed by a merchandising entity
Like product costs, period costs are not necessarily treated as expenses in the period in which they are incurred.
Indirect materials/factory supplies are classified as administrative expense.
