Exam 2: Refresher on Cost Terms Road Map

Benz Corporation has the following cost and expenditure data available for its first month of operations. Complete the table with by indicating whether the cost incurred would be an expense or an asset. Then, compute the total expenditures related to these costs.

Given the following items listed below, identify on which type(s) of business financial statements these items would normally appear , More than one selection may be included in an answer. -Gross Margin

Which of the statements regarding the relevant range for a business is true?

Mannix Manufacturing had the following production data for the month ended April 30, 20XX, with a beginning balances in the Work-In-Process Inventory of $0 and Finished Goods Inventory account of $13,000: April 9: Requisitioned $54,000 of direct materials into production and assigned $58,000 of direct labor to production. April 17: Added $32,000 of manufacturing overhead to production. April 27: Completed production on 80% of the production and transferred the completed units to finished goods inventory. April 30: Sold 40% of the products in finished goods inventory. The balance in the Finished Goods inventory at the end of the month would be

Metluck Motor-Parts, Inc. incurred the following costs for the current month: The total conversion costs for Metluck Motor-Parts, Inc. for the current month is

Match the following terms the appropriate defintion. -Expense

If costs do not have objective, measurable future benefit, they are

Match the following terms the appropriate defintion. -Sunk Cost

Winter Widgets reported the following costs and expenses for the month of December: What is the total "Manufacturing Cost" for Winter Widgets for December?

Shin Manufacturers reports the following information at the end of the current year: What is the gross margin at year-end for Shin Manufacturers?

The ability of a manufacturer to mark-up its product costs to selling price is reflected in its

Creative Crafts, Inc. has the following information for the current fiscal year: The gross margin for Creative Crafts, Inc. is

Micromart reports the following information at the end of the current year: What is Micormart's cost of goods sold at year-end?

Inventory for a merchandising business is classified as a(n)

A manufacturer shows total assets of $419,000 and the following additional information: The composition of total Inventory is 30% Raw Materials Inventory, 50% Work-In-Process Inventory, and 20% Finished Goods Inventory. What dollar amount would be reported for each of the inventory accounts?

Speedy Sneakers, Inc. has the following information for the current fiscal year: Determine the gross margin for Speedy Sneakers, Inc.

Which of the following statements is correct regarding the management of costs for businesses when activity levels may change rapidly?

Full cost is

Which of the following statements related to a Service Provider is incorrect?

You have been presented with the following financial information for GenX Company: You have been asked to prepare a vertical analysis for the income statement for current year. (Round percentages to one decimal place)