1. LO 10.1________ are the costs associated with not choosing the other alternative.Sunk costsOpportunity costsDifferential costsAvoidable costs

________Cost is also known as Alternative Cost. a. Opportunity b. Actual c. Real d. Money 27.The additional cost incurred to produce an additional unit of output is______ a. Marginal cost b. Variable cost c. Fixed cost d. Opportunity cost 28__________means absence of competition. a. Monopoly b. Perfect c. Imperfect d. Oligopoly 29.A Cost not relevant to deciding whether to purchase a new machine is: a. The cost of the new machine b. Lower maintenance costs for the new machine c. The cost of the old machine d. Additional training required for operating the new machines 30.In ‘make or buy decision, it is profitable to buy from outside only when the supplier’s price is below the firm’s own_______________ a. Fixed cost b. Variable cost c. Total cost d. Prime cost 31Companies usually develop _______rather than single products a. Product families b. Product lines c. Product groupings d. Product images 32. Which of the following describes secondary data? a. data that does not provide any information b. data collected for another purposeata collected specifically for the purpose of the survey being undertaken d. data collected by post or telephone, not by personal interview 33.Which of the following would be classified as data? a. Number of purchase requisitions b. Analysis of wages into direct and indirect costs c. Table showing variances from budget d. Graph showing the number of labour hours worked 34. Which TWO of the following are included in the prime cost of a product? a. Direct material b. Direct labour c. Administration costs d. Production overheads 35. Which of the following describes cost centres? a. unit of product or service for which costs are ascertained b. amounts of expenditure attributable to various activities c. functions or locations for which costs are ascertained d. a section of an organization for which budgets are prepared and control exercised 36 Within time series analysis, which TWO of the following are concerned with long term movements/fluctuations in variables? a. Seasonal variations b. Cyclical variations c. Random variations d. The trend 37. Which TWO of the following statements are true in relation to spreadsheets? a. A spreadsheet consists of records and files. b. Most spreadsheets have a facility to allow data within them to be displayed graphically. c. A spreadsheet could be used to prepare a budgeted statement of profit or loss. d. A spreadsheet is the most suitable software for storing large volumes of data.

For make-or-buy decisions, relevant costs include:Group of answer choicesdifferential costs plus fixed costsincremental costs plus differential costsincremental costs plus sunk costsincremental costs plus opportunity costs

_____ are sometimes called overhead/indirect or unavoidable costs A. Average Costs B. Total Fixed Costs C. Total Costs D. Marginal CostsReset Selection

A cost that can be eliminated in whole or in part by choosing one alternative over another is a(n) Blank______ cost.Multiple choice question.irrelevantsunkavoidableincremental

Which of the following is not a sunk cost?Group of answer choicesThe non-refundable deposit already paid to secure a new factoryThe tax a firm needs to pay given it sold one of its propertiesTime spent by senior management at an upcoming corporate retreatAn advertising campaign from last year