Under Variable Costing, Product Costs Consist of Direct Materials, Direct

question 42

True/False

Under variable costing, product costs consist of direct materials, direct labor, and variable manufacturing overhead.

---

Definitions:

External Standards

Criteria or benchmarks that originate outside of an individual or process, used for comparison or evaluation purposes.

Internal Standards

The personal criteria or benchmarks one uses for behavior, which are developed based on one’s values and beliefs.

Thematic Apperception Test

A projective psychological test involving a series of ambiguous images presented to an individual, who then tells a story based on each image, revealing underlying motives, feelings, and themes.

Rorschach Test

A psychological test in which subjects' perceptions of inkblots are recorded and then analyzed using psychological interpretation, complex algorithms, or both.