Question 1

The cost of partially completed products is included in the balance of the Goods in Process Inventory account.

Accepted Answer

A) True 
 B)False

Question 2

The Goods in Process Inventory account is found only in the ledgers of merchandising companies.

Accepted Answer

A) True 
 B)False

Question 3

An approach to managing inventories and production operations such that units of materials and products are obtained and provided only as they are needed is called:

Accepted Answer

A) Continuous improvement. 
B) Customer orientation. 
C) Just-in-time manufacturing. 
D) Theory of constraints. 
E) Total quality management. 
A) Continuous improvement. 
B) Customer orientation. 
C) Just-in-time manufacturing. 
D) Theory of constraints. 
E) Total quality management.

Question 4

A management concept that applies quality improvement to all aspects of business activities is called:

Accepted Answer

A) Continuous operations. 
B) Customer orientation. 
C) Just-in-time. 
D) Managerial accounting. 
E) Total quality management. 
A) Continuous operations. 
B) Customer orientation. 
C) Just-in-time. 
D) Managerial accounting. 
E) Total quality management.

Question 5

A manufacturer's inventory that is not completely finished is called __________________ .

Accepted Answer

The answer of A manufacturer's inventory that is not completely...

Question 6

Costs may be classified by many different cost classifications.

Accepted Answer

A) True 
 B)False

Question 7

One difference between financial and managerial accounting is that the external users that use financial information must plan a company's future, but the internal users of managerial accounting information generally must decide whether to invest in or lend to a company.

Accepted Answer

A) True 
 B)False

Question 8

Raw materials inventory includes only direct materials.

Accepted Answer

A) True 
 B)False

Question 9

Which of the following costs is not included in factory overhead?

Accepted Answer

A) Payroll taxes on the wages of supervisory factory workers. 
B) Indirect labor. 
C) Depreciation of manufacturing equipment. 
D) Manufacturing supplies used. 
E) Direct materials. 
A) Payroll taxes on the wages of supervisory factory workers. 
B) Indirect labor. 
C) Depreciation of manufacturing equipment. 
D) Manufacturing supplies used. 
E) Direct materials.

Question 10

Whether a cost is controllable or not controllable by an employee depends on the employee's level of responsibility.

Accepted Answer

A) True 
 B)False

Question 11

The following information for Baldwin Company, as of December 31, is provided.
   A.Calculate the direct material used during the period.
B.Calculate the total manufacturing costs incurred during the period.
C.Calculate the Cost of Goods Manufactured during the period.
D.Calculate the Cost of Goods Sold during the period.

Accepted Answer

A.$7,000 + $94,000 - $3500 = $97,500
B.

Question 12

Use the following information to compute the cost of goods manufactured:

Accepted Answer

A) $36,650 
B) $30,950 
C) $30,650 
D) $30,350 
E) $31,650 
A) $36,650 
B) $30,950 
C) $30,650 
D) $30,350 
E) $31,650

Question 13

Calculate cost of goods sold for the following two companies:

Accepted Answer

CARVER, LT

Question 14

The manufacturing statement is also known as the schedule of manufacturing activities or the schedule of cost of goods manufactured.

Accepted Answer

A) True 
 B)False

Question 15

Expenditures directly associated with the manufacture of finished goods that include direct materials and direct labor are _____________________ costs.

Accepted Answer

The answer of Expenditures directly associated with the manufacture of...

Question 16

The series of activities that add value to a company's products or services is called a value chain.

Accepted Answer

A) True 
 B)False

Question 17

Period costs for a manufacturing company would flow directly to:

Accepted Answer

A)  The current income statement. 
B)  Factory overhead. 
C)  The current balance sheet. 
D)  Job cost sheet. 
E)  The current manufacturing statement. 
A)  The current income statement. 
B)  Factory overhead. 
C)  The current balance sheet. 
D)  Job cost sheet. 
E)  The current manufacturing statement.

Question 18

Match between columns
                        Premises: Variable costs
Fixed costs
Factory overhead
Product costs
Sunk costs
Period costs
Conversion costs
Prime costs
Indirect costs
Opportunity costs

Accepted Answer

The Answer of Costs that change in proportion to changes is...

Question 19

The main difference between the income statement of a manufacturer and a merchandiser is that the merchandiser includes cost of goods manufactured rather than cost of goods purchased.

Accepted Answer

A) True 
 B)False

Question 20

What is the main difference between the income statement of a manufacturer and that of a merchandiser?

Accepted Answer

In the calculation of cost of goods sold

The cost of partially completed products is included in the balance of the Goods in Process Inventory account.

The Goods in Process Inventory account is found only in the ledgers of merchandising companies.

An approach to managing inventories and production operations such that units of materials and products are obtained and provided only as they are needed is called:

A management concept that applies quality improvement to all aspects of business activities is called:

A manufacturer's inventory that is not completely finished is called __________________ .

Costs may be classified by many different cost classifications.

One difference between financial and managerial accounting is that the external users that use financial information must plan a company's future, but the internal users of managerial accounting information generally must decide whether to invest in or lend to a company.

Raw materials inventory includes only direct materials.

Which of the following costs is not included in factory overhead?

Whether a cost is controllable or not controllable by an employee depends on the employee's level of responsibility.

Use the following information to compute the cost of goods manufactured:

Calculate cost of goods sold for the following two companies:

The manufacturing statement is also known as the schedule of manufacturing activities or the schedule of cost of goods manufactured.

Expenditures directly associated with the manufacture of finished goods that include direct materials and direct labor are _____________________ costs.

The series of activities that add value to a company's products or services is called a value chain.

Period costs for a manufacturing company would flow directly to:

The main difference between the income statement of a manufacturer and a merchandiser is that the merchandiser includes cost of goods manufactured rather than cost of goods purchased.

What is the main difference between the income statement of a manufacturer and that of a merchandiser?

Job Order Costing and Analysis

Process Costing and Analysis

Activity-Based Costing and Analysis

Cost Behavior and Cost-Volume-Profit Analysis

Variable Costing and Performance Reporting

Master Budgets and Performance Planning

Flexible Budgets and Standard Costing

Performance Measurement and Responsibility Accounting

Relevant Costing for Managerial Decisions

Capital Budgeting and Investment Analysis

Reporting and Analyzing Cash Flows

Analyzing Financial Statements

Time Value of Money

Basic Accounting for Transactions

Accounting for Partnerships

Filters

Exam 1: Managerial Accounting Concepts and Principles

The cost of partially completed products is included in the balance of the Goods in Process Inventory account.

The Goods in Process Inventory account is found only in the ledgers of merchandising companies.

An approach to managing inventories and production operations such that units of materials and products are obtained and provided only as they are needed is called:

A management concept that applies quality improvement to all aspects of business activities is called:

A manufacturer's inventory that is not completely finished is called __________________ .

Costs may be classified by many different cost classifications.

One difference between financial and managerial accounting is that the external users that use financial information must plan a company's future, but the internal users of managerial accounting information generally must decide whether to invest in or lend to a company.

Raw materials inventory includes only direct materials.

Which of the following costs is not included in factory overhead?

Whether a cost is controllable or not controllable by an employee depends on the employee's level of responsibility.

Use the following information to compute the cost of goods manufactured:

Calculate cost of goods sold for the following two companies:

The manufacturing statement is also known as the schedule of manufacturing activities or the schedule of cost of goods manufactured.

Expenditures directly associated with the manufacture of finished goods that include direct materials and direct labor are _____________________ costs.

The series of activities that add value to a company's products or services is called a value chain.

Period costs for a manufacturing company would flow directly to:

The main difference between the income statement of a manufacturer and a merchandiser is that the merchandiser includes cost of goods manufactured rather than cost of goods purchased.

What is the main difference between the income statement of a manufacturer and that of a merchandiser?

Job Order Costing and Analysis

Process Costing and Analysis

Activity-Based Costing and Analysis

Cost Behavior and Cost-Volume-Profit Analysis

Variable Costing and Performance Reporting

Master Budgets and Performance Planning

Flexible Budgets and Standard Costing

Performance Measurement and Responsibility Accounting

Relevant Costing for Managerial Decisions

Capital Budgeting and Investment Analysis

Reporting and Analyzing Cash Flows

Analyzing Financial Statements

Time Value of Money

Basic Accounting for Transactions

Accounting for Partnerships

Filters