As a Part of the Development of the Professional Practices

question 162

Multiple Choice

As a part of the development of the Professional Practices Framework, significant portions of the information contained in the __________ Guidelines have been converted to Practice Advisories. Omnibus Practice Advisories ___________ are based on information previously published in the ________ but have been updated to be consistent with the new Standards and the Professional Practices Framework:

• A) "Yellow Book", 100-1 through 3600-1, "Red Book"
• B) "Red Book", 1000-1 through 2600-1, "Red Book"
• C) "Black Book", 2000-1 through 2600-1, "Red Book"
• D) "Blue Book", 1000-1 through 600-1, "Red Book"

---

Definitions:

Factory Overhead

All indirect costs associated with manufacturing, such as utilities, rent, and maintenance, excluding direct materials and direct labor.

Cost-Reimbursement Contract

A type of contract where the purchaser agrees to pay the supplier for all actual costs incurred plus a fee or profit.

Selling Price

The amount of money consumers pay to purchase a product or service, set by sellers based on costs, market demand, and competition.

Allocation System

A method of distributing resources, costs, or revenues among various departments, products, or activities based on predetermined criteria.