Costing

✅ The correct answer is D.
In process costing, if an abnormal loss arises, the process account is generally credited with the full production cost of the abnormal loss units. Abnormal loss (a cost) is credited to the process account and abnormal gain (a benefit) is debited to the process account.

✅ The correct answer is D.
Second step in processing costing system is to compute output in units. Process costing is an accounting methodology that traces and accumulates direct costs, and allocates indirect costs of a manufacturing process.

✅ The correct answer is B.
A technique for estimating regression line, which minimizes sum of vertical deviations squares is classified as least square technique.

✅ The correct answer is D.
Method, which allocates cost of support department for operating departments by recognizing all mutual services provided is classified as reciprocal method. In the reciprocal method, the relationship between the service departments is recognized. This means service department costs are allocated to and from the other service departments.

✅ The correct answer is A.
Sales volume variance = Flexible budget amount – Static budget amount
= $15000 – $6000 = $9,000

✅ The correct answer is A.
In linear cost function which is y=a + bx, objective is to find the values of a and b.

✅ The correct answer is A.
Relationship based on unrelated level of activity and past data of cost is measured with help of cost estimation. Cost estimation is the art of assigning value.

✅ The correct answer is A.
Costs, which consist of interdepartmental cost allocations plus cost of support department are classified as complete reciprocal costs. The allocation of service department costs is incomplete if the method used for cost allocation ignores or does not give full recognition to interdepartmental services.

✅ The correct answer is C.
Total cost related to work in process inventory is divided by total units of work done is used to calculate weighted average cost.

✅ The correct answer is B.
Organizational structure determines how the roles, power and responsibilities are assigned, controlled, and coordinated, and how information flows between the different levels of management.