Which of the Following Terms Is Commonly Used to Describe

question 18

Multiple Choice

Which of the following terms is commonly used to describe the concept whereby the cost of manufactured products is composed of direct materials cost, direct labor cost, and variable factory overhead cost?

• A)absorption costing
• B)differential costing
• C)standard costing
• D)variable costing

---

Definitions:

Management Challenge

A situation that tests the skills, knowledge, and abilities of those in leadership positions to handle complex organizational issues.

Information Competency

The ability to find, evaluate, use, and communicate information in various formats effectively.

Intellectual Capital

The intangible value of a company's employee knowledge, business training, and any proprietary information that contributes to the company's competitive advantage.

Knowledge Management

The method of generating, distributing, utilizing, and controlling an organization's knowledge and information to improve its efficiency and competitive edge.