WEEK 3 QUESTIONS

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PLEASE ANSWER EACH QUESTION IN 200 OR MORE WORDS. USE APA GUIDELINES.

 

 1. What is Relevant, Opportunity and Sunk Costs? Please provide an example of each.j

 

 2. What is Predetermined Overhead Rate and how is it calculated and give an example.

 

 3. What is Activity-Based Costing?

 

 4. What are some of the key elements of Activity-Based Costing?

 

 5. Why is Direct Labor a poor base for allocating overhead in many companies?

 

 6. What are "Cost Drivers" and provide an example.

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