Exam 2: Building Blocks of Managerial Accounting

Country Furniture Company manufactures furniture at its Akron, Ohio, factory. Some of its costs from the past year include: Product costs for Country Furniture Company totaled

Company X sells widgets. The following information summarizes the company's operating activities for the year: What is operating income?

Challenge Tennis & Recreation's operating activities for the year are listed below. What is the cost of goods available for sale?

Paper Clip Company sells office supplies. The following information summarizes the company's operating activities for the year: What is cost of goods sold?

Tall Timbers reports the following data for its first year of operation. What are the total manufacturing costs to account for?

Which element of the value chain would depreciation on a factory be classified as?

Which of the following items could be found in work in process inventory at a candy bar manufacturer?

Lucky Cow Dairy provided the following expense information for May: What is the total cost for the marketing category of the value chain?

Irrelevant factors should not be considered when making decisions.

An example of a fixed cost would be

Lucky Cow Dairy provided the following expense information for May: What is the total cost of research and development of the value chain?

The total cost of a product equals the total fixed costs plus the total variable costs.

The income statements for both a merchandiser and manufacturer would include which of the following?

Swirzoff Company sells office supplies. The following information summarizes Swirzoff's operating activities for the past year: Required: Prepare an income statement for Swirzoff Company, a merchandiser, for the year ended December 31.

Describe service, merchandising, and manufacturing companies.

A factory janitor's wages would be classified as ________ when determining the cost of a manufactured product.

Sneider Family Orange Groves processes a variety of fresh juices. The company has the following expenses for July: What is the total cost for the marketing category of the value chain?

Selected information regarding a company's most recent quarter follows (all data in thousands). What was the beginning finished goods inventory?

An indirect cost for one cost object can be direct cost for a different cost object.

Lots of Stuff Company reports the following data for its first year of operation. What are the total manufacturing costs to account for?