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Actvity quiz

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Samuel Perez

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Quiz may 12Versión en línea Actvity quiz por Samuel Perez 1 Definition of absortion costing a It is a method for calculating a company's net income from its gross sales. b It is a marketing strategy used to increase product visibility on social media. c Is a method of accounting for overheads, it is basically a method of sharing out overheads incurred amongst units produced. d It is a type of financial investment based on the diversification of fixed assets. 2 Efficiency ratio= a Expected hours to make outpout / Actual hours taken b Actual hours taken /Expected hours to make outpout 3 Productivity ratio = a Capacity ratio x Efficiency ratio b Efficiency ratio x Capacity ratio 4 What is the meaning of the acronym OAR ? a Operating Asset Ratio b Operational Audit Report c Official Accounting Record d Overhead absortion rates 5 What is one of the three stages of absorption costing? a Budgeting b Marketing c Allocation d Selling 6 In time work remuneration, how are wages calculated? a Hours worked × number of products b Hours worked × rate per hour c Days worked × rate per day d Bonus × performance 7 Which of the following is an example of a production overhead cost? a Raw materials b Sales commission c Factory rent d Direct labor 8 What is the first step in calculating the overhead absorption rate? a Apply the absorption rate to the cost unit b Estimate the activity level c Divide estimated overhead by activity level d Estimate the overhead likely to be incurred 9 Which of the following is one reason for using absorption costing? a To reduce marketing expenses b To calculate depreciation c To record employee bonuses d For inventory valuations 10 Absorption costing helps with inventory valuation? a True b False

Quiz may 12Versión en línea

Actvity quiz

por Samuel Perez

Definition of absortion costing

It is a method for calculating a company's net income from its gross sales.

It is a marketing strategy used to increase product visibility on social media.

Is a method of accounting for overheads, it is basically a method of sharing out overheads incurred amongst units produced.

It is a type of financial investment based on the diversification of fixed assets.

Efficiency ratio=

Expected hours to make outpout / Actual hours taken

Actual hours taken /Expected hours to make outpout

Productivity ratio =

Capacity ratio x Efficiency ratio

Efficiency ratio x Capacity ratio

What is the meaning of the acronym OAR ?

Operating Asset Ratio

Operational Audit Report

Official Accounting Record

Overhead absortion rates

What is one of the three stages of absorption costing?

Budgeting

Marketing

Allocation

Selling

In time work remuneration, how are wages calculated?

Hours worked × number of products

Hours worked × rate per hour

Days worked × rate per day

Bonus × performance

Which of the following is an example of a production overhead cost?

Raw materials

Sales commission

Factory rent

Direct labor

What is the first step in calculating the overhead absorption rate?

Apply the absorption rate to the cost unit

Estimate the activity level

Divide estimated overhead by activity level

Estimate the overhead likely to be incurred

Which of the following is one reason for using absorption costing?

To reduce marketing expenses

To calculate depreciation

To record employee bonuses

For inventory valuations

Absorption costing helps with inventory valuation?

True

False

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Quiz may 12

Test

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Quiz may 12Versión en línea

por Samuel Perez

Definition of absortion costing

Efficiency ratio=

Productivity ratio =

What is the meaning of the acronym OAR ?

What is one of the three stages of absorption costing?

In time work remuneration, how are wages calculated?

Which of the following is an example of a production overhead cost?

What is the first step in calculating the overhead absorption rate?

Which of the following is one reason for using absorption costing?

Absorption costing helps with inventory valuation?

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