ACC 406 Chapter 2: Chapter 2

Case 5A Glaser Health

Specify an appropriate cost driver for tracing costs associatedwith the various levels of activities to the next cost objective orproducts, whichever is appropriate.

1) Cost accounting systems are used ________.
A) to accumulate product cost information
B) to accumulate and assign period costs to products
C) by manufacturing companies, not service companies
D) by stockholders for decision-making purposes

Cost accounting systems are used to_____

A. to accumulate product cost information
B. by stockholders for decision-making purposes
C. to accumulate and assign period costs to products
D. by manufacturing companies, not service companies