________ Starts with Estimated Product Costs and Next Adds Desired

question 152

Multiple Choice

________ starts with estimated product costs and next adds desired operating income.

• A)Cost-plus pricing
• B)Target costing
• C)Kaizen costing
• D)Life-cycle budgeting

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Definitions:

Unearned Revenue

Money received by a company for goods or services yet to be delivered or performed, considered a liability until the service or product is provided.

Earned Revenue

Income generated from the sale of goods or services related to the core business operations.

Accrued Wages

Wages that have been earned by employees but have not yet been paid by the employer.

Independent Contractor

An individual or entity contracted to perform work for—or provide services to—another entity as a non-employee, thereby offering flexibility and operational advantages for the hiring entity.