41 wee bee trucking determines the cost per delivery by identifying variables as cos 4306058

41 wee bee trucking determines the cost per delivery by identifying variables as cos 4306058

41) Wee Bee Trucking determines the cost per delivery by identifying variables as cost drivers, and allocating overhead accordingly. This is an example of ________ costing.

A) job-order

B) unit-based

C) activity-based

D) process

42) In activity-based costing, expenses associated with the purchase of health care insurance for employees are ________ overhead.

A) batch-related

B) product-related

C) companywide

D) expenditure-based

43) In activity-based costing, the expenses associated with planning and design of new products are ________ overhead.

A) batch-related

B) product-related

C) companywide

D) expenditure-based

44) At the end of each production run, preventive maintenance is done on the assembly line. The expenses associated with this maintenance are ________ overhead.

A) batch-related

B) product-related

C) companywide

D) department-based

45) Which of the following is not a benefit of activity-based costing?

A) Lower cost

B) Better decisions

C) Improved cost management

D) Identification of cost drivers

46) The expenses associated with a product recall are ________ costs.

A) prevention

B) inspection

C) internal failure

D) external failure

47) The expenses associated with quality assurance activities are ________ costs.

A) prevention

B) inspection

C) internal failure

D) external failure

48) The expenses associated with the use of clean rooms in the production of computer hard drives are ________ costs.

A) prevention

B) inspection

C) internal failure

D) external failure

49) The expenses associated with disposal of defective products are ________ costs.

A) prevention

B) inspection

C) internal failure

D) external failure

50) Labor productivity is measured by the quantity produced divided by the labor time required to produce it. All other things held constant, an increase in labor productivity will increase throughput by

A) increasing productive capacity.

B) increasing productive processing time.

C) increasing yield.

D) increasing all components of throughput.

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