Chapter 23 Accounting 26e Carl Warren James M Reeve Jonathan Duchac

Chapter 23 Accounting 26e Carl Warren James M Reeve Jonathan Duchac

 

Complete Chapter Questions With Answers

 

Sample Questions Are Posted Below

 

1. A variable cost system is an accounting system where standards are set for each manufacturing cost element.
   1. True
   2. False

 

ANSWER:                                  False

DIFFICULTY:                           Easy

Bloom’s: Remembering

LEARNING OBJECTIVES:        ACCT.WARD.16.23-01 – 23-01

ACCREDITING STANDARDS:   ACCT.ACBSP.APC.27 – Managerial Accounting Features/Costs

ACCT.ACBSP.APC.36 – Budgeting and Responsibility

ACCT.IMA.09 – Performance Measurement

BUSPROG: Analytic

2. One reason not to depend solely on historical records to set standards is that there may be inefficiencies contained in past costs.
   1. True
   2. False

 

ANSWER:                                  True

DIFFICULTY:                           Easy

Bloom’s: Remembering

LEARNING OBJECTIVES:        ACCT.WARD.16.23-01 – 23-01

ACCREDITING STANDARDS:   ACCT.ACBSP.APC.27 – Managerial Accounting Features/Costs

ACCT.ACBSP.APC.36 – Budgeting and Responsibility

ACCT.IMA.09 – Performance Measurement

BUSPROG: Analytic

3. Standard costs serve as a device for measuring efficiency.
   1. True
   2. False

 

ANSWER:                                  True

DIFFICULTY:                           Easy

Bloom’s: Remembering

LEARNING OBJECTIVES:        ACCT.WARD.16.23-01 – 23-01

ACCREDITING STANDARDS:   ACCT.ACBSP.APC.27 – Managerial Accounting Features/Costs

ACCT.ACBSP.APC.36 – Budgeting and Responsibility

ACCT.IMA.09 – Performance Measurement

BUSPROG: Analytic

 

 

 

4. The standard cost is how much a product should cost to manufacture.
   1. True
   2. False

 

ANSWER:                                  True

DIFFICULTY:                           Easy

Bloom’s: Remembering

LEARNING OBJECTIVES:        ACCT.WARD.16.23-01 – 23-01

ACCREDITING STANDARDS:   ACCT.ACBSP.APC.27 – Managerial Accounting Features/Costs

ACCT.ACBSP.APC.36 – Budgeting and Responsibility ACCT.IMA.09 – Performance Measurement BUSPROG: Analytic

5. Accounting systems that use standards for product costs are called standard cost systems.
   1. True
   2. False

 

ANSWER:                                  True

DIFFICULTY:                           Easy

Bloom’s: Remembering

LEARNING OBJECTIVES:        ACCT.WARD.16.23-01 – 23-01

ACCREDITING STANDARDS:   ACCT.ACBSP.APC.27 – Managerial Accounting Features/Costs

ACCT.ACBSP.APC.36 – Budgeting and Responsibility

ACCT.IMA.09 – Performance Measurement

BUSPROG: Analytic