Exam 1: Introduction to Financial Statements

Wasson Company reported the following year-end information: Beginning work in process inventory \ 35,000 Beginning raw materials inventory 18,000 Ending work in process inventory 38,000 Ending raw materials inventory 15,000 Raw materials purchased 560,000 Direct labor 180,000 Manufacturing overhead 120,000 How much is Wasson's total cost of work in process for the year?

Both direct materials and indirect materials are

Product costs consist of

Finished goods inventory does not appear on a cost of goods manufactured schedule.

The balanced scorecard approach attempts to maintain as little inventory on hand as possible.

If the amount of "Cost of goods manufactured" during a period exceeds the amount of "Total manufacturing costs" for the period, then

Because of automation, which component of product cost is declining?

Dolan Company's accounting records reflect the following inventories: Dec. 31,2013 Dec. 31,2012 Raw materials inventory \ 310,000 \ 260,000 Work in process inventory 300,000 160,000 Finished goods inventory 190,000 150,000 During 2013, $600,000 of raw materials were purchased, direct labor costs amounted to $500,000, and manufacturing overhead incurred was $480,000. - The total raw materials available for use during 2013 for Dolan Company is

Cost of goods manufactured is calculated as follows:

Which of the following is not an internal user?

Ogleby Inc.'s accounting records reflect the following inventories: Dec. 31, 2012 Dec. 31, 2013 Raw materials inventory \ 120,000 \ 96,000 Work in process inventory 156,000 174,000 Finished qoods inventory 150,000 138,000 During 2013, Ogleby purchased $840,000 of raw materials, incurred direct labor costs of $150,000, and incurred manufacturing overhead totaling $192,000. - How much is total manufacturing costs incurred during 2013 for Ogleby?

The supply chain is all the activities associated with providing a product or service.

Direct materials costs and indirect materials costs are manufacturing overhead.

Manufacturing costs include

Period costs are not inventoriable costs.

Managerial accounting internal reports are prepared more frequently than are classified financial statements.

How have many companies significantly lowered inventory levels and costs?

The major reporting standard for presenting managerial accounting information is

Samson Company reported total manufacturing costs of $300,000, manufacturing overhead totaling $52,000, and direct materials totaling $64,000.How much is direct labor cost?

Controlling is the process of determining whether planned goals are being met.