Inventory Types, Inventoriable Cost and Period Cost Multiple Choice Questions with Answers – PDF Download

MCQ 1: The labor related to the manufacturing of the product can be classified under:

1. direct manufacturing labor costs
2. indirect manufacturing labor costs
3. work in process cost
4. finished costs

MCQ 2: In an income statement, when costs become cost of sold goods and manufactured products are sold, such costs are:

1. inventoriable costs
2. finished costs
3. factory overhead costs
4. manufacturing overhead costs

MCQ 3: The balance sheet, in which all the costs of the product that must be considered as its assets, is said to be:

1. factory overhead costs
2. manufacturing overhead costs
3. Inventoriable costs
4. finished costs

MCQ 4: An acquisition cost of raw material is to be used in the manufacturing, and becoming a component of cost object is classified as:

1. direct material costs
2. indirect material costs
3. direct labor costs
4. indirect labor costs

MCQ 5: The wages and other benefits, provided to assembly line workers and operators of machine are classified under the:

1. work in process costs
2. finished costs
3. direct manufacturing labor costs
4. indirect manufacturing labor costs