Exam 1: A: Basic Cost Management Concepts

Information from the records of the Scully Company for July was as follows: Sales \3 07,500 Selling and administrative expenses 52,500 Direct materials used 66,000 Direct labour 75,000 Variable factory overhead 50,000 Factory overhead 51,250 $\quad$ $\quad$ $\quad$ $\quad$ $\quad$ $\quad$ $\quad$ $\quad$ $\quad$$\text { Inventories }$ July 1 July 31 Direct materials \ 8,000 \ 10,500 Work in process 18,750 21,000 Finished goods 17,250 14,250 Scully Corporation produced 20,000 units. -Refer to the figure.What were the prime costs per unit for July?

What is developing a company strategy for responding to anticipated new markets an example of?

In regard to services,what is the definition of inseparability?

Which of the following is a cost management subsystem designed to provide accurate and timely feedback concerning the performance of managers and others relative to their planning and control of activities?

Information from the records of the Tyler Enterprises for March is as follows: Sales \ 41,000 Direct labour 10,000 Selling and administrative expenses 7,000 Direct materials purchases 6,000 Factory averhead 13,500 $\quad$ $\quad$ $\quad$ $\quad$ $\quad$ $\quad$ $\quad$ $\quad$ $\quad$ $\quad$$\text { Inventories }$ Direct materials \ 1,200 \ 1,400 Work in process 2,500 2,800 Finished goods 2,300 1,900 -Refer to the figure.What was the cost of materials used in production?

Which of the following is NOT a transformational process in an accounting information system?

Which of the following costs is an example of a product cost?

What is the term for a computerized information system that strives to input data once and make it available to people across the company for different purposes?

Which of the following is NOT a period cost?

Which steps are included in the planning process?

Which of the following would be considered a line function?

Which of the following expenses incurred by a department store is a direct cost for the women's shoe department?

Which cost assignment method would likely assign the cost of heating in a plant that makes chairs and go-carts when the chair product line is the cost object?

Information from the records of the Cain Corporation for August was as follows: Sales \1 ,230,000 Selling and administrative expenses 210,000 Direct materials used 264,000 Direct labour 300,000 Factory overhead* 405,000 *variable overhead is $205,000,fixed overhead is $200,000 $\quad$ $\quad$ $\quad$ $\quad$ $\quad$ $\quad$ $\quad$ $\quad$ $\quad$$\text { Inventories }$ Direct materials \ 36,000 \ 42,000 Work in process 75,000 84,000 Finished goods 69,000 57,000 -Refer to the figure.What are the variable product costs?

Which of the following items is not relevant to the cost flows of a service organization?

Inventory balances for the James Enterprises in February are as follows: February 1 February 28 Raw materials \ 27,000 \ 21,000 Work in process 48,000 37,200 Finished goods 108,000 90,000 During February,purchases of direct materials were $36,000.Direct labour and factory overhead costs were $60,000 and $84,000,respectively. -Refer to the figure.What is the cost of goods manufactured?

Which of the following would NOT be a benefit of a cost management system?

In a company,engineers have redesigned the production process,lowering production costs,shortening the production cycle time,reducing waste,and improving quality.What managerial activity is occurring in this situation?

What would wages paid to a janitor in a factory be classified as?

How are costs classified when calculating the absorption-costing income for external reporting?