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ACCT 434 Week 1 Quiz Activity Based Costing
This archive file of ACCT 434 Week 1 Quiz Activity Based Costing shows the solutions to the following problems:
1. The average cost data are for In-Sync Fixtures Company's (a retailer) only two product lines, Marblette and Italian Marble.2. The allocation of indirect costs in an activity-based costing system3. Evaluating customer reaction of the trade-off of giving up some features of a product for a lower price would best fit which category of management decisions under activity-based management?4. A company produces three products; if one product is overcosted then5. To set realistic selling prices6. Different products consume different proportions of manufacturing overhead costs because of differences in all of the following EXCEPT7. A well-designed, activity-based cost system helps managers make better decisions because information derived from an ABC analysis8. Companies use ABC system information to9. For service organizations that bill customers at a predetermined average rate, activity-based cost systems can help to10. Danielle Company produces a special spray nozzle. The budgeted indirect total cost of inserting the spray nozzle is $180,000. The budgeted number of nozzles to be inserted is 60,000. What is the budgeted indirect cost allocation rate for this activity?