WorksheetsCOGs, Startup, SGA Costs
Total questions: 17
Worksheet time: 9mins
What is cost?
What the business pays
Money received by the business
Inventory the business owns
The number of employees the business has
Match each cost category to its description as stated on the slide.
Costs of Goods Sold (COGS)
Money spent to build the product or deliver the service; paid each time the product is built or the service is delivered.
Startup Costs
Money spent to get the business up and running; paid only once to get the business started.
Service, General, and Administrative Costs (SG&A)
Money spent to keep the business running; paid frequently to sell, market, and operate your business.
Which cost category is paid each time the product is built or the service is delivered?
Costs of Goods Sold (COGS)
Startup Costs
Service, General, and Administrative Costs (SG&A)
Whichcost category is paid only once to get the business started?
Startup Costs
Costs of Goods Sold (COGS)
Service, General, and Administrative Costs (SG&A)
Based on COGs , which item is categorized as MATERIAL?
Components, ingredients, parts
Wages for assembly persons
Payments to service providers
Office rent
Based on the COGs, which item is categorized as LABOR?
Wages for assembly persons
Components and parts
Packaging materials
Equipment purchase
Which item is included as a Startup Cost before opening the doors for business?
Plant, property, and equipment
Weekly sales commissions
COGS per unit
Monthly SG&A advertising after launch
What characterizes SG&A fees?
On‑going fees to keep the business running; these fees are not one‑time
One‑time purchases needed to launch the business
Taxes paid on profit at year end
Raw materials directly used in producing goods
Which cost category includes expenses like rent, utilities, and office supplies?
Service, General, and Administrative Costs (SG&A)
Startup Costs
Costs of Goods Sold (COGS)
Which of the following is NOT considered a Cost of Goods Sold (COGS)?
Packaging materials for products
Wages for workers assembling products
Monthly internet subscription for the office
Raw materials used in production
What type of cost is incurred repeatedly to maintain daily business operations?
Startup Costs
Service, General, and Administrative Costs (SG&A)
Costs of Goods Sold (COGS)
Which of the following is an example of a recurring business expense?
One-time legal fees for company formation
Initial purchase of machinery
Cost of raw materials for the first batch
Monthly utility bills
What is typically included in the Costs of Goods Sold (COGS)?
Direct labor and materials used in production
Startup legal fees
Office rent and administrative salaries
Advertising expenses
Which cost is most likely to be paid before a business begins operations?
SG&A
COGS
Monthly rent
Startup Costs
Which of the following best describes a Startup Cost?
Wages paid to employees for ongoing work
The cost of raw materials used in production
A recurring monthly payment for office utilities
A one-time expense incurred before business operations begin
What is an example of a Service, General, and Administrative (SG&A) expense?
Office rent paid every month
Purchase of factory equipment
Direct materials for manufacturing
Initial legal fees for company setup
Which cost category includes the expense of hiring temporary workers for product assembly?
Marketing Costs
Costs of Goods Sold (COGS)
SG&A
Startup Costs
