Question 1

Internal reports must be communicated

Accepted Answer

A) daily. 
B) monthly. 
C) annually. 
D) as needed. 
A) daily. 
B) monthly. 
C) annually. 
D) as needed.

Question 2

Financial and managerial accounting are similar in that both

Accepted Answer

A) have the same primary users. 
B) produce general-purpose reports. 
C) have reports that are prepared quarterly and annually. 
D) deal with the economic events of an enterprise. 
A) have the same primary users. 
B) produce general-purpose reports. 
C) have reports that are prepared quarterly and annually. 
D) deal with the economic events of an enterprise.

Question 3

Which of the following statements about internal reports is not true?

Accepted Answer

A) The content of internal reports may extend beyond the double-entry accounting system. 
B) Internal reports may show all amounts at market values. 
C) Internal reports may discuss prospective events. 
D) Most internal reports are summarized rather than detailed. 
A) The content of internal reports may extend beyond the double-entry accounting system. 
B) Internal reports may show all amounts at market values. 
C) Internal reports may discuss prospective events. 
D) Most internal reports are summarized rather than detailed.

Question 4

A manufacturing company reports cost of goods manufactured as a(n)

Accepted Answer

A) current asset on the balance sheet. 
B) administrative expense on the income statement. 
C) component in the calculation of cost of goods sold on the income statement. 
D) component of the raw materials inventory on the balance sheet. 
A) current asset on the balance sheet. 
B) administrative expense on the income statement. 
C) component in the calculation of cost of goods sold on the income statement. 
D) component of the raw materials inventory on the balance sheet.

Question 5

Edmiston Company reported the following year-end information: beginning work in process inventory, $80,000; cost of goods manufactured, $780,000; beginning finished goods inventory, $50,000; ending work in process inventory, $70,000; and ending finished goods inventory, $40,000.How much is Edmiston's cost of goods sold for the year?

Accepted Answer

A) $780,000 
B) $790,000 
C) $770,000 
D) $800,000 
A) $780,000 
B) $790,000 
C) $770,000 
D) $800,000

Question 6

In calculating gross profit for a manufacturing company, the cost of goods manufactured is deducted from net sales.

Accepted Answer

A) True 
 B)False

Question 7

Total period costs are deducted from total cost of work in process to calculate cost of goods manufactured.

Accepted Answer

A) True 
 B)False

Question 8

Which one of the following is an example of a period cost?

Accepted Answer

A) A change in benefits for the union workers who work in the New York plant of a Fortune 1000 manufacturer 
B) Workers' compensation insurance on factory workers' wages allocated to the factory 
C) A box cost associated with computers 
D) A manager's salary for work that is done in the corporate head office 
A) A change in benefits for the union workers who work in the New York plant of a Fortune 1000 manufacturer 
B) Workers' compensation insurance on factory workers' wages allocated to the factory 
C) A box cost associated with computers 
D) A manager's salary for work that is done in the corporate head office

Question 9

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

Accepted Answer

A) service firms. 
B) merchandising firms. 
C) manufacturing firms. 
D) Managerial accounting applies to all types of firms. 
A) service firms. 
B) merchandising firms. 
C) manufacturing firms. 
D) Managerial accounting applies to all types of firms.

Question 10

For the work of factory employees to be considered as direct labor, the work must be conveniently and

Accepted Answer

A) materially associated with raw materials conversion. 
B) periodically associated with raw materials conversion. 
C) physically associated with raw materials conversion. 
D) promptly associated with raw materials conversion. 
A) materially associated with raw materials conversion. 
B) periodically associated with raw materials conversion. 
C) physically associated with raw materials conversion. 
D) promptly associated with raw materials conversion.

Question 11

Financial statements for external users can be described as

Accepted Answer

A) user-specific. 
B) general-purpose. 
C) special-purpose. 
D) managerial reports. 
A) user-specific. 
B) general-purpose. 
C) special-purpose. 
D) managerial reports.

Internal reports must be communicated

Financial and managerial accounting are similar in that both

Which of the following statements about internal reports is not true?

A manufacturing company reports cost of goods manufactured as a(n)

In calculating gross profit for a manufacturing company, the cost of goods manufactured is deducted from net sales.

Total period costs are deducted from total cost of work in process to calculate cost of goods manufactured.

Which one of the following is an example of a period cost?

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

For the work of factory employees to be considered as direct labor, the work must be conveniently and

Financial statements for external users can be described as

A Further Look at Financial Statements

The Accounting Information System

Accrual Accounting Concepts

Merchandising Operations and the Multiple-Step Income Statement

Reporting and Analyzing Inventory

Fraud, Internal Control, and Cash

Reporting and Analyzing Receivables

Reporting and Analyzing Long-Lived Assets

Reporting and Analyzing Liabilities

Reporting and Analyzing Stockholders Equity

Statement of Cash Flows

Financial Analysis: the Big Picture

Managerial Accounting

Time Value of Money and Present Value Calculations

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Exam 1: Introduction to Financial Statements

Internal reports must be communicated

Financial and managerial accounting are similar in that both

Which of the following statements about internal reports is not true?

A manufacturing company reports cost of goods manufactured as a(n)

In calculating gross profit for a manufacturing company, the cost of goods manufactured is deducted from net sales.

Total period costs are deducted from total cost of work in process to calculate cost of goods manufactured.

Which one of the following is an example of a period cost?

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

For the work of factory employees to be considered as direct labor, the work must be conveniently and

Financial statements for external users can be described as

A Further Look at Financial Statements

The Accounting Information System

Accrual Accounting Concepts

Merchandising Operations and the Multiple-Step Income Statement

Reporting and Analyzing Inventory

Fraud, Internal Control, and Cash

Reporting and Analyzing Receivables

Reporting and Analyzing Long-Lived Assets

Reporting and Analyzing Liabilities

Reporting and Analyzing Stockholders Equity

Statement of Cash Flows

Financial Analysis: the Big Picture

Managerial Accounting

Time Value of Money and Present Value Calculations

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