ACCT 2302 Midterm: Midterm 2 study guide
1 Dec 2016
School
Department
Course
Professor
Document Summary
Study guide for midterm #2: chapter 4, types of costs, direct, traced directly to cost object. **estimated oh = (actual oh)(oh rate) unadjusted cogs over/underapplied oh = adjusted cogs: actual vs. normal costing. Use actual dm, dl, and oh: allocating joint costs. Joint costs = costs that go into a joint process: why allocate them, see what costs go with what product, only because we have to inventory each process. Physical measures: net (realizable) sales value @ split-off and with further processing. Analysis of profitability: product, customer, cost hierarchy. Costly to: change current system, identify/measure activities, unit-level: vary with # of units produced, dm, dl hours, etc, batch-level: vary with # of batches produced, regardless of number of units per batch, machine set-up. Product-level: vary with # of product lines: advertising, r&d, customer-level: vary with # of customer types, advertising, r&d, organization-sustaining: facilities level/fc, rent, wages, manager salary, activity-based management, activity drivers, cause of activity, activities, activity cost pools.
