Describe the difference between normal costing, actual costing, and standard costing.
What will be an ideal response?
Normal costing assigns actual direct costs to a job and applies overhead based on a predetermined rate times the actual activity. Actual costing assigns actual direct costs to a job and applies overhead based on an actual rate times the actual activity. Standard costing assigns a standard amount of direct costs to a job and applies overhead using a standard rate times standard activity.
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Which of the following statements about semivariable costs is not true?
a. They first have to be broken down into their fixed and variable components before they can be used to predict costs at different levels of volume. b. They are sometimes called mixed costs. c. They vary in direct proportion to volume changes. d. They may remain constant over a range of production, then abruptly change.
People from cultures that follow the monochronic time system tend to
a. do one thing at a time. b. be committed to people. c. borrow and lend things often. d. build lifetime relationships.
The adjusting entry at the end of an accounting period to record the unpaid salaries of employees for work provided is:
A. Debit Salaries Expense and credit Salaries Payable. B. Debit Unpaid Salaries and credit Salaries Payable. C. Debit Salaries Expense and credit Cash. D. Debit Salaries Payable and credit Salaries Expense. E. Debit Cash and credit Salaries Expense.
______ specify payment to be made in the future, such as 60 days from the date of the writing of the draft
a. Balloon drafts b. Delayed drafts c. Lapsed drafts d. Real estate drafts e. none of the other choices are correct