IN-CLASS TASK PERFORMANCE

1. Intangible products are items that have physical appearance, look and existence.
2. Unit costing computes the average unit cost by dividing the total costs by the number of
units produced in a specified period.
3. Individual activities such as products, customers, services, and locations are considered
as cost objects.
4. Output unit-level costs are the cost of activities performed on each unit of product or
service.
5. Job costing determine the cost of production of every order.
6. Batch costing is a cost allocation method used by companies that produce products that
are custom made.
7. Set up cost is allocated for the costing the manufacture of a sala set.
8. The ABC system is based on activities which consist of different functions are associated
with cost objects.
9. Costs flow from one process to another involves costs relating to direct material, direct
wages, and factory overheads which are charged to the process accounts.
10. Internal services pertain to a division of an organization that render service within the
organization.
11. Service costing refers to the cost procedure used for determining the cost per unit of a
service rendered.
12. Cost pool pertains to the segregation of individual cost items.
13. Administrative costs are facility sustaining costs.
14. The most common classification of costs are fixed and variable costs.
15. Cost drivers give rise to the causes of reasons for the occurrence of overhead costs.
16. In process costing, the products are distinguishable in the processing stage.
17. Process costing is a method used to determine the cost of a product at each operation,
process or stage of manufacture.
18. Producing dissimilar products in mass is a system of production called batching.
19. Interest on capital, defective work, storage loss, obsolescence and premium paid for
insurance comprise a carrying cost.
20. In process costing, the cost of normal spoilage or wastage is included in the cost of the
total units produced.
21. Identical products can be produced and grouped together for the purpose of costing.
22. Support activities include scheduled production, setup machine, purchase materials, and
custom order, while production process activities include machine products and
assembled products.
23. Advertising is considered as a product-sustaining cost.
24. Unit costing is applied to industries where the manufacturing process are continuous.
25. Service organizations are businesses that renders service to the other segment of the
organization.
Answer:
1. False
2. False
3. True
4. True
5. True
6. False
7. True
8. False
9. True
10. True
11. True
12. False
13. True
14. True
15. True
16. False
17. True
18. True
19. True
20. False
21. Ture
22. False
23. False
24. Ture
25. False
26.