Which of the Following Costs Incurred by a Bus Manufacturer

question 31

Multiple Choice

Which of the following costs incurred by a bus manufacturer would NOT be directly attributable to the finished product?

• A)the wages paid to assembly-line production workers
• B)the tires for buses
• C)the windshields for buses
• D)the depreciation on factory building

Identify direct and indirect expenses and understand their treatment in departmental costing.

Comprehend the concepts of controllable and uncontrollable costs.

Grasp the basics of departmental income statements and the allocation of expenses.

Recognize the evaluation measures for different types of centers (cost, profit, investment).

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Definitions:

Indigestion

A common digestive issue marked by feelings of discomfort or pain in the stomach associated with difficulty in digesting food.

Down Syndrome

Chromosomal disorder characterized by moderate-to-severe mental retardation and by such physical signs as a downward-sloping skin fold at the inner corners of the eyes. Also called trisomy-21.

Piercing Cry

A sharp and high-pitched sound, often made by a baby or a small child, indicating distress, discomfort, or urgent need for attention.

Bassinet

A small bed specifically designed for infants, typically used from birth until around four months or until the baby can move, roll, or push up.