Match Each Phrase That Follows with the Term A-H It

question 173

Multiple Choice

Match each phrase that follows with the term a-h it describes.
-costs incurred in a previous process that are carried forward as part of the product's cost when it moves to the next department

• A)direct labor and factory overhead
• B)direct labor and direct materials
• C)transferred in costs
• D)equivalent units
• E)process costing
• F)job order costing
• G)first-in, first-out method
• H)cost of production report

Identify the behaviors of average variable cost (AVC) and average total cost (ATC) as output changes.

Know the break-even and shutdown points in both short run and long run scenarios.

Distinguish between types of costs (fixed, variable, marginal).

Understand the role of total revenue in short-run operational decisions.

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Definitions:

Inventory Period

The average length of time items are held in inventory before being sold.

Payables Period

The average time it takes for a business to pay its invoices and bills, reflecting the company's efficiency in managing payables.

Inventory Period

The average time a company holds inventory before selling it, directly affecting cash flow and storage costs.

Cost of Goods Sold

The direct expenses associated with manufacturing goods sold by a company.