Match Each Situation to the Most Appropriate Term

question 53

Multiple Choice

Match each situation to the most appropriate term.
-an EPSP

• A)depolarization
• B)repolarization
• C)hyperpolarization

Understand the framework for making production and sales decisions based on contribution margins.

Grasp the treatment of fixed and variable costs in both costing methods and their impact on product pricing and cost control.

Understand the concepts of manufacturing margin, contribution margin, and operating income.

Differentiate between absorption costing and variable costing.

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Definitions:

Predetermined Overhead Rate

A rate calculated before a period begins, used to allocate estimated manufacturing overhead costs to individual units of product based on a chosen activity base.

Washing Mitt

A glove-like cleaning tool used for washing surfaces, especially in automotive detailing, made of soft fibers to avoid scratching.

Activity-Based Costing

A method of cost accounting that identifies activities in an organization and assigns the cost of each activity to all products and services according to the actual consumption by each.

Overhead Cost Per Unit

The allocation of total overhead costs to individual units of production, providing a per-unit cost of overhead expenses.