Attraction Corporation produces specially machined parts. The parts are produced in batches in one continuous manufacturing process. Each part is custom produced and requires special engineering design activity (based on customer specifications). Once the design is completed, the equipment can be set up for batch production. Once the batch is completed, a sample is taken and inspected to see if the parts are within the tolerances allowed. Thus, the manufacturing process has four activities: engineering, setups, machining, and inspecting. In addition, there is a sustaining process with two activities: providing utilities (plantwide) and providing space. Costs have been assigned to each activity using direct tracing and resource drivers: Engineering $1,000,000 Setups 900,000 Machining 2,000,000 Inspection 800,000 Providing space 250,000 Providing utilities 180,000 ​ Activity drivers for each activity have been identified and their practical capacities listed: Machine hours 25,000 Setups 200 Engineering hours 5,000 Inspection hours 2,500 ​ The costs of facility-level activities are assigned using machine hours. ​ What is (are) the product-level activity(ies)?

Error costs are costs associated with measurements required by the cost management system and measurement costs are the costs associated with making poor decisions.

__________ are generally materials necessary for production that do not become part of the finished product or are not used to provide a service.

Altering dates of shipping documents of next January’s sales to record them as sales in the current year would be a violation of which standard of ethical conduct for management accountants?

Cost is the cash or cash equivalent value sacrificed for goods and services that are expected to bring a current or future loss to the company.

Carriage Manufacturing uses an activity-based costing system. The company produces Model 21 and Model 22. Information relating to the two products is as follows: ​ ​ Model 21 Model 22 Units produced 24,000 30,000 Machine hours 7,500 8,500 Direct labor hours 8,000 12,000 Material handling (number of moves) 4,000 6,000 Setups 5,000 7,000 ​ The following costs are reported: ​ Material handling $ 40,000 Labor-related overhead 120,000 Setups 60,000 ​ Setup costs assigned to Model 22 are

Explain why actual costing systems are rarely used in practice.

An __________costing database is the collected data sets that are organized and interrelated for use in a company’s ABC information system.

Activity __________ are nonfinancial and financial data that describe individual activities.

A nursing home requires one nurse for each six patients. This is an example of a