Which of the following statements is false regarding the identification of activities in activity-based costing (ABC)?
A) The identification of activities that drive overhead costs is done before cost drivers are selected.
B) An activity can be thought of as a procedure or process that causes work to be accomplished.
C) Overhead costs should not be traced to more than one activity.
D) Because of different types of production processes and products, every business will have a different set of activities and cost drivers.
C
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For an assigned claim to be valid, ________.
A. the contract must not be voidable for any other reason known to the assignor B. the assignee must have a good title to the rights assigned C. the assignor need not have the capacity to contract D. the contract must have been discharged once prior to the assignment
At her neighbor's garage sale, Constance buys a vanity dressing table from her neighbor, Carlos, for $160 . Constance purchased the vanity table for her own personal use, without any knowledge that Carlos had signed a security agreement giving All Purpose Furniture, Inc a security interest in the vanity table. All Purpose Furniture did not file a financing statement. Constance does not know that
Carlos is still paying off the purchase money security interest and owes All Purpose Furniture, Inc $400 . Under these circumstances: a. Constance takes the vanity table subject to All Purpose's security interest because All Purpose's security interest automatically perfected. A perfected security interest takes priority. b. Constance takes the vanity table free of All Purpose's security interest because she is a buyer of consumer goods c. Constance takes the vanity table free of All Purpose's security interest because she is a buyer in the ordinary course of business. d. Constance must pay All Purpose $400 or the table must be resold, and she and All Purpose will proportionately share the proceeds from the sale of the table.
Herd, Inc., manufactures and sells two products: Product J5 and Product A9. Data concerning the expected production of each product and the expected total direct labor-hours (DLHs) required to produce that output appear below: Expected ProductionDirect Labor-Hours Per UnitTotal Direct Labor-HoursProduct J51,0007.07,000Product A97008.05,600Total direct labor-hours 12,600The company's expected total manufacturing overhead is $848,432.If the company allocates all of its overhead based on direct labor-hours, the overhead assigned to each unit of Product A9 would be closest to: (Round your intermediate calculations to 2 decimal places.)
A. $202.24 per unit B. $222.72 per unit C. $538.72 per unit D. $536.96 per unit
In a line-and-staff organization, which division is a line activity?
A. Production B. Legal C. Human Resources D. Accounting