Quiz # 1

This is the normal operating range wherein cost assumptions are valid

This cost varies in total but is uniform per unit.

This activity causes the cost to change

Cost that is composed of direct labor and direct materials

Inventory that has already entered production and is still in process at the end of the period

A budgeted, constant charge per unit of activity used to assign overhead to production or services

Immaterial overhead differences must be closed to

Computed capacity at which all production factors are operating perfectly

Capacity at which several factors are considered such as holidays, downtime

In variable costing, fixed manufacturing overhead is considered