University of Louisiana, Lafayette - ACCT 526 Final Exam. Verified Document.

University of Louisiana, Lafayette - ACCT 526 Final Exam. Verified Document. Question 1 Correct Mark 3.00 out of 3.00 Started on Tuesday, 10 October 2017, 8:42 PM State Finished Completed on Tuesday, 10 October 2017, 10:42 PM Time taken 2 hours Grade 153.00 out of 180.00 (85%) Overhead costs are assigned to production using an overhead application rate, whereas no such application rate is used to assign the costs of direct materials and direct labor to production. The reason for this difference in procedures is that: Select one: a. overhead is an indirect cost which cannot be traced easily and directly to specific units of product b. independent of both the number and the type of products manufactured and also independent of the amount of overhead costs incurred c. traceable directly to the products manufactured but independent of the amount of overhead costs incurred d. independent of the type and number of units manufactured but a casual factor in the amount of overhead cost incurred Your answer is correct. The correct answer is: overhead is an indirect cost which cannot be traced easily and directly to specific units of product ACCT526-850_010- Page 1 of 27Comprehensive Final Exam 10/11/2017 Question 2 Correct Mark 3.00 out of 3.00 Question 3 Correct Mark 3.00 out of 3.00 An advantage of using regression analysis over the high-low and scattergraph methods is that Select one: a. neither: regression analysis is less costly to implement than high-low or scattergraph methods or is a more precise approach than the high-low or scattergraph methods b. regression analysis is less costly to implement than high-low or scattergraph methods c. regression analysis is a more precise approach than the high-low or scattergraph methods d. both: regression analysis is less costly to implement than high-low or scattergraph methods and is a more precise approach than the high-low or scattergraph methods Your answer is correct. The correct answer is: regression analysis is a more precise approach than the high-low or scattergraph methods An example of a discretionary fixed cost is: Select one: a. depreciation of buildings and equipment b. insurance c. management training d. taxes on real estate Your answer is correct. The correct answer is: management training Page 2 of 27Comprehensive Final Exam 10/11/2017 Question 4 Correct Mark 3.00 out of 3.00 Tucker, Inc collected the following production data for the past month: Units Produced Total Cost 1,600 $22,000 1,300 19,000 1,500 22,500 1,100 16,500 If the high-low method is used, what is the monthly total cost equation? Select one: a. Total cost = $5,500 + $10/unit b. Total cost = $0 + $15/unit c. Total cost = $4,400 + $11/unit d. Total cost = $3,300 + $12/unit Your answer is correct. The correct answer is: Total cost = $4,400 + $11/unit