1. State how managers use information about costs in the management cycle.
2. Identify various approaches managers use to classify costs.
3. Define and give examples of the three elements of product cost and compute a product unit cost for a manufacturing organization.
4. Describe the flow of product-related activities, documents, and costs through the Materials Inventory, Work in Process Inventory, and Finished Goods Inventory accounts.
5. Prepare a statement of cost of goods manufactured and an income statement for a manufacturing organization.
6. Define cost allocation and explain how cost objects, cost pools, and cost drivers are used to apply manufacturing overhead.
7. Calculate product unit cost using the traditional allocation of manufacturing overhead costs.
8. Calculate product unit cost using activity-based costing to assign manufacturing overhead costs.
9. Apply costing concepts to a service organization.