Explain how costs are assigned to activities describe, Managerial Accounting

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Explain how costs are assigned to activities describe

1. Describe the two-stage process associated with plantwide overhead rates.

2. Describe the two-stage process for departmental overhead rates.

3. What are nonunit-level overhead activities? Nonunit-based cost drivers? Give some examples.

4. What is meant by ‘‘product diversity''?

5. What is an overhead consumption ratio?

6. What is activity-based product costing?

7. What is an activity dictionary?

8. Explain how costs are assigned to activities.

9. Describe the value of activity-based customer costing.

10. Explain how ABC can help a firm identify its true low-cost suppliers.

11. What is driver analysis? What role does it play in process-value analysis?

12. What are value-added activities? Value-added costs?

13. What are nonvalue-added activities? Nonvalue-added costs? Give an example of each.

14. Identify and define four different ways to manage activities so that costs can be reduced.

15. What is cycle time? Velocity?

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