A firm has to pay a $0.5 per unit royalty to the inventor of a device which it manufactures and sells.The royalty charge would be classified in the firm's accounts as a/an:
A. Selling expense
B. Direct expense
C. Production overhead
D. Administrative overhead
A cost is described as staying the same over a certain activity range and then increasing but remaining stable over a revised activity range in the short term.What type of cost is this?
A fixed cost
B. A variable cost
C. A semi-variable cost
D. A stepped fixed cost
A manufacturing company has four types of cost (identified as Tl, T2, T3 and T4). The total cost for each type at two different production levels is:Which two cost types would be classified as being semi-variable?
A. Tl and T3
B. Tl and T4
C. T2 and T3
D. T2 and T4
The overhead of a company are coded using 5 digit coding system, an extract from which is as followThe coding for the depreciation of machine of production Dept. C is 32605Which is the coding for the indirect labour cost incurred in service Dept. Y
A. 31604
B. 40602
C. 41602
D. 32605