Exam 1: Introduction to Financial Statements

What activities and responsibilities are not associated with management's functions?

Finished goods inventory for a manufacturing company is equivalent to inventory for a merchandising company.

Managerial accounting information generally pertains to an entity as a whole and is highly aggregated.

If the cost of goods manufactured is less than the cost of goods sold, which of the following is correct?

Both direct materials and indirect materials are

Managerial accounting applies to each of the following types of businesses except

Dolan Company's accounting records reflect the following inventories: Dec. 31, 2017 Dec. 31, 2016 Raw materials inventory \ 310,000 \ 260,000 Work in process inventory 300,000 160,000 Finished goods inventory 190,000 150,000 During 2017, $800,000 of raw materials were purchased, direct labor costs amounted to $670,000, and manufacturing overhead incurred was $640,000. If Dolan Company's cost of goods manufactured for 2017 amounted to $1,890,000, its cost of goods sold for the year is

What is work in process inventory generally described as?

The work of factory employees that can be physically and directly associated with converting raw materials into finished goods is

Planning is a function that involves

Planning involves coordinating the diverse activities and human resources of a company to produce a smooth running operation.

Assuming that the cost of goods manufactured is $3,460,000 compute the cost of goods sold using the following information. Raw materials inventory, January 1 30,000 Raw materials inventory, December 31 60,000 Work in process, January 1 27,000 Work in process, December 31 18,000 Finished goods, January 1 60,000 Finished goods, December 31 48,000 Raw materials purchases 1,800,000 Direct labor 890,000 Factory utilities 225,000 Indirect labor 75,000 Factory depreciation 500,000 Operating expenses 630,000

In determining whether planned goals are being met, a manager is performing the function of

Which of the following are period costs?

Which of the following is not a separate management function?

Financial statements for external users can be described as

Managerial accounting information is generally prepared for

If the total manufacturing costs are greater than the cost of goods manufactured, which of the following is correct?

Managerial accounting is applicable to

Given the following data for Harder Company, compute cost of goods manufactured: Direct materials used \ 120,000 Beginning work in process \ 20,000 Direct labor 200,000 Ending work in process 10,000 Manufacturing overhead 180,000 Beginning finished goods 25,000 Operating expenses 175,000 Ending finished goods 15,000