Question

Place the four business functions in the order they appear along the value​ chain:
Customer Service
Design
Marketing
Production
A.
​Design, Customer​ Service, Production, Marketing
B.
​Design, Production,​ Marketing, Customer Service
C.
Customer​ Service, Design,​ Production, Marketing
D.
Customer​ Service, Marketing,​ Production, Design

Which of the following is true if the production volume​ decreases?
A.
variable cost per unit increases
B.
variable cost per unit decreases
C.
fixed cost per unit increases
D.
average cost per unit decreases

Which of the following might explain why one manager might assign certain costs to a cost object while a different manager might assign some different costs to that same cost​ object?
A.
one manager might value an inventory item for the balance sheet as the sum of all the value chain costs while another manager might choose to only recognize variable costs as inventoribale costs for GAAP purposes.
B.
For financial statement​ purposes, one manager might include all the costs of the value chain while the other might only only include GAAP cost
C.
one manager might be pricing a cost object while the other manager might be seeking the inventoriable cost
D.
one manager might classify one cost as direct while another might classify that same cost as indirect
Click to select your answer.

Advanced Technology Products produces 10 different fastners. Each time a type of fastener is​ produced, the equipment must be stopped and items such as filters and drill bits must be​ changed, oil must be added to the equipment and some parts need lubrication. This work must be done before the products can be​ produced, the costs related to this activity would be part of which cost​ pool?
A.
Outputminus−level costs
B.
Batchminus−level costs
C.
Productminus−sustaining costs
D.
Serviceminus−sustaining costs

Answer 1

Place the four business functions in the order they appear along the value​ chain:

B.Design, Production,​ Marketing, Customer Service

Which of the following is true if the production volume​decreases?

C. fixed cost per unit increases

Which of the following might explain why one manager might assign certain costs to a cost object while a different manager might assign some different costs to that same cost​ object?

C.one manager might be pricing a cost object while the other manager might be seeking the inventoriable cost

Advanced Technology Products produces 10 different fastners. Each time a type of fastener is​ produced, the equipment must be stopped and items such as filters and drill bits must be​ changed, oil must be added to the equipment and some parts need lubrication. This work must be done before the products can be​ produced, the costs related to this activity would be part of which cost​ pool?

B. Batchminus−level costs