VOCABULARY QUIZ
Chapter 2
1. The manufacturing costs associated with the goods
that were finished
2. A cost that remains constant, in total, regardless of
changes in the level activity within a relevant range.
3. Direct labour cost plus manufacturing overhead cost
4. The potential benefit given up when one alternative is
selected over another.
5. Direct materials cost plus direct labour cost.
6. A cost that can be easily and conveniently traced to a
particular cost object.
7. Unit of product that is only partially complete and will
require further work before they are ready for sale to a
customer.
8. Cost that can be carried forward to inventory.
Synonym for product costs.
9. Small items of material, such as glue and nails. These items
may become an integral part of a finished product but are
traceable to the product only at great cost or inconvenience.
10. All costs involved in acquiring or making a product. In the
case of manufactured goods, these costs consist of direct
materials, direct labour, and manufacturing overhead.
