ACC 350 Week 3 Quiz 2

1) An actual cost is ________.
2) Comparing budgeted costs to actual costs helps managers to improve ________.
3) Budgeted costs are ________.
4) Cost assignment ________.
5) A cost system determines the cost of a cost object by ________.
6) A cost object is anything for which a cost measurement is desired.
7) Costs are accounted for in two basic stages: assignment followed by accumulation.
8) An actual cost is the cost incurred -a historical or past cost.
9) Accountants define a cost as a resource to be sacrificed to achieve a specific objective.
10) A cost is a resource sacrificed or forgone to achieve a specific objective.
11) Managers use cost accumulation data to make decisions and implement them.
12) Lucas Manufacturing has three cost objects that it uses to accumulate costs for its manufacturing plants. They are:

Cost object #1: The physical buildings and equipment
Cost object #2: The use of buildings and equipment
Cost object #3: The availability and use of manufacturing labor