?Which of the following statements is false Activity-based costing typically provides less information about product costs while requiring more .recordkeeping .a O All the statements are false b O Volume-based costing has typically resulted in higher gross margins for high-volume products and lower .c O gross margins for low-volume products Activity-based costs per unit are always greater than volume-based costs per unit d O Different cost allocation methods are constructed so that they typically result in the same or similar .e .estimates of how much it costs to make a product

?Which of the following statements is false Activity-based costing typically provides less information about product costs while requiring more .recordkeeping .a O All the statements are false b O Volume-based costing has typically resulted in higher gross margins for high-volume products and lower .c O gross margins for low-volume products Activity-based costs per unit are always greater than volume-based costs per unit d O Different cost allocation methods are constructed so that they typically result in the same or similar .e .estimates of how much it costs to make a product

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter6: Activity-based, Variable, And Absorption Costing

Section: Chapter Questions

Problem 12MC: Which statement is correct? A. Activity-based cost systems are less costly than traditional cost...

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Product costs under variable costing are typically: A. higher than under absorption costing B. lower than under absorption costing C. the same as with absorption costing D. higher than absorption costing when inventory increases
Which of the following statements is false ? a. Volume-based costing has typically resulted in undercost for high-volume products and overcost for low-volume products . b. All the statements are false . c . Activity-based costs per unit are always greater than volumebased costs per unit. d. Activity-based costing typically provides less information about product costs while requiring more recordkeeping. e. Different cost allocation methods are constructed so that they typically result in the same or similar estimates of how much it costs to make a product.
Which of the following statements is not false of costing systems? A. Activity-based costing systems tend to use fewer cost pools than does a traditional costing system. B. Many traditional costing systems can distort product costs and profitability. C. Activity-based costing systems tend to combine various costs into a single cost pool. D. Traditional costing systems tend to be more costly than activity-based costing systems
Which of the following statements is true? O a. Activity-based costs per unit are always greater than volume-based costs per unit. O b. All the statements are false. O c. Different cost allocation methods are constructed so that they typically result in the same or similar estimates of how much it costs to make a product. O d. Activity-based costing typically provides less information about product costs while requiring more recordkeeping. O e. Volume-based costing has typically resulted in overcost for high-volume products and undercost for low-volume products. 11:40 ere to search A D a dx ENG 22-05-2021 hp delete home end an Ed 96 & 7\ 6. + backspace mum lock RO 7 V home g up K enter 50 pause B t shift 2Y end alt ctrl ins
CLEAR MY CHOICE Which of the following statements is false? O a Volume-based costing has typically resulted in undercost for high-volume products and overcost for low-volume products. O b. Different cost allocation methods are constructed so that they typically result in the same or similar estimates of how much it costs to make a product. OC Activity-based costing typically provides less information about product costs while requiring more recordkeeping. O d. All the statements are false. O e. Activity-based costs per unit are always greater than volume-based costs per unit. Windows buii PAGE dows huil Sslacyl Jail NEXT P. ENG DELL
When a traditional, volume-based costing system is used, which of the following products is most likely to suffer from cost distortion? Select one O a. A low-volume, low-complexity product ObA low-volume, high-complexity product O CA low-volume, medium-complexity product O d. none of the given answer O e. A high-volume, medium-complexity product
Which among the following is not true about traditional costing system? a. This method allocates greater proportion of overheads to high volume products b. This method avoids the phenomenon of product cost cross subsidization c. This method allocates smaller proportion of overheads to low volume products d. This method leads to cost smoothing
When a traditional, volume-based costing system is used, which of the following products is most likely to suffer from cost distortion? Select one. a. A low-volume, low-complexity product b. A high-volume, medium-complexity product CA low-volume, medium-complexity product d.A low-volume, high-complexity product
Which of the following statements regarding absorption and variable costing is correct? A Absorption costing results in higher income when inventory increases. B Variable manufacturing costs are lower under absorption costing. C Overhead costs are treated in the same manner under both variable and absorption costing methods. D Profits are always the same under two costing methods.
Which of the following is not a potential advantage of variable costing relative absorptioncosting?a. Net income computed under variable costing is unaffected by changes productionlevels.b. It is easier to understand the impact of fixed and variable costs on computation of netincome when variable costing is used.c. The use of variable costing is consistent with cost-volume-profit analysis.d. Net income computed under variable costing is not closely tied to changes in sales level.
Which of following is not correct about normal costing? Select one: O a. Product cost includes the applied indirect manufacturing cost O b. Product cost includes the traced actual direct materials O c. Actual direct labor cost is traced to jobs d. Product cost does not include selling and administrative expenses O e. Predetermined rate is used to apply direct manufacturing costs Which one of the following is.not correct about variable costing systems?
Product costs under variable costing are typically: Group of answer choices A. higher than under absorption costing B. lower than under absorption costing C. the same as with absorption costing D. higher than absorption costing when inventory increases