ACG 3351 ACG3351 Week 6 Quiz (Everest)

ACG 3351 ACG3351 Week 6 Quiz (Everest)


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ACG 3351 Week 6 Quiz (Everest)

1. All customers are equally important to a company and should receive equal levels of attention. (Points : 5)

2. Indirect costs are costs that cannot be traced to cost objects in an economically feasible way. (Points : 5)

3. To motivate engineers to design simpler products, costs for production, distribution, and customer service may be included in product-cost estimates. (Points : 5)

4. The single-rate cost-allocation method provides better information for decision making than the dual-rate method. (Points : 5)

5. Today, companies are simplifying their cost systems and moving toward less-detailed and less-complex cost allocation bases. (Points : 5)

6. The dual cost-allocation method classifies costs into two pools, a budgeted cost pool and an actual cost pool. (Points : 5)

7. For external reporting, costs inventoried under GAAP sometimes include R&D costs. (Points : 5)

8. When budgeted cost-allocation rates are used, managers of the supplier division are motivated to improve efficiency. (Points : 5)

9. An individual cost item can be simultaneously a direct cost of one cost object and an indirect cost of another cost object. (Points : 5)

10. When budgeted cost-allocation rates are used, user-division managers face uncertainty about the allocation rates for that budget period. (Points : 5)

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