1 Management Accounting Practice Questions 1.Activity based costing identifies the activities which cause to b e incurred and trace ……………. Of these activities. a.Cost Pools c. Cost Objects b.Cost Drivers d. Cost Centre 2.It is possible to ascertain most accurate and realistic product cost by adopting: a.Activity based accounting c. Activity based Management b.Activity based Information d. Activity based Costing 3.…………….. Is the final to which costs are traced? a.Cost Object c. Cost Driver b.Cost Pool d. Cost activity 4.In tracing costs to products by using a measure of resources consumed by each activity ……….. is used. a.Cost Driver c. Cost Object b.Cost Pool d. Cost Unit 5.Costs are grouped into ……………according to the activities which drive them: a.Cost Drivers c. Cost Pools b.Cost Objects d. Cost Units 6.Activity Based Costing is defined as cost attribution to ………………. On the basis of the benefit received from indirect ac tivities: a.Cost Units c. Cost Objects b.Cost Pools d. Cost Drivers 7.Under ABC System, the aggregate of closely related tasks is called…………………. a.Pool c. Activity b.Cost Unit d. Driver 8.The Cost pools and Cost drivers are u sed to assign indirect Costs to ……………….. a.Cost Units c. Cost Centres b.Cost objects d. Production Units 9.The point of focus for the co sts relating to a particular Activity in Activity Based Costing System is called:
