Matching
Match the following definitions with the terms
Premises:
Operating expenses that cannot be readily identified and are not closely related to activi within a department
The branch of accounting that provides financial information about business segments, activities, or products
Operating expenses that are identified directly with a department and are recorded by department
A business segment that produces revenue
Income statement that shows each department's contribution margin and net income fro operations after all expenses are allocated
The process that allows management to evaluate the performance of each segment of th business and assign responsibility for its financial results
A business segment that incurs costs but does not produce revenue
The price at which one segment's goods are transferred to another segment of the company
Gross profit on sales minus direct expenses
Operating expenses that cannot be directly assigned to a department but are closely related to departmental activities
Responses:
Contribution margin
Cost center
Departmental income statement
Direct expenses
Indirect expenses
Managerial accounting
Profit center
Responsibility accounting
Semidirect expenses
Transfer price
Correct Answer:
Premises:
Responses:
Operating expenses that cannot be readily identified and are not closely related to activi within a department
The branch of accounting that provides financial information about business segments, activities, or products
Operating expenses that are identified directly with a department and are recorded by department
A business segment that produces revenue
Income statement that shows each department's contribution margin and net income fro operations after all expenses are allocated
The process that allows management to evaluate the performance of each segment of th business and assign responsibility for its financial results
A business segment that incurs costs but does not produce revenue
The price at which one segment's goods are transferred to another segment of the company
Gross profit on sales minus direct expenses
Operating expenses that cannot be directly assigned to a department but are closely related to departmental activities
Premises:
Operating expenses that cannot be readily identified and are not closely related to activi within a department
The branch of accounting that provides financial information about business segments, activities, or products
Operating expenses that are identified directly with a department and are recorded by department
A business segment that produces revenue
Income statement that shows each department's contribution margin and net income fro operations after all expenses are allocated
The process that allows management to evaluate the performance of each segment of th business and assign responsibility for its financial results
A business segment that incurs costs but does not produce revenue
The price at which one segment's goods are transferred to another segment of the company
Gross profit on sales minus direct expenses
Operating expenses that cannot be directly assigned to a department but are closely related to departmental activities
Responses:
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