Question 1

A financial report that summarizes the amounts and types of costs that were incurred in the manufacturing process during the period is a:

Accepted Answer

A) Materials statement. 
B) Managerial statement. 
C) Schedule of cost of goods manufactured. 
D) Merchandise schedule. 
E) General-purpose statement. 
A) Materials statement. 
B) Managerial statement. 
C) Schedule of cost of goods manufactured. 
D) Merchandise schedule. 
E) General-purpose statement.

Question 2

Costs that flow directly to the income statement as expenses are called:

Accepted Answer

A) Period costs. 
B) Product costs. 
C) General costs. 
D) Balance sheet costs. 
E) Capitalized costs. 
A) Period costs. 
B) Product costs. 
C) General costs. 
D) Balance sheet costs. 
E) Capitalized costs.

Question 3

Current information for the Stellar Corporation follows:  
Stellar Corporation's cost of goods manufactured for the year is:

Accepted Answer

A) $295,100. 
B) $296,500. 
C) $313,000. 
D) $275,800. 
E) $293,700. 
A) $295,100. 
B) $296,500. 
C) $313,000. 
D) $275,800. 
E) $293,700.

Question 4

The purpose of managerial accounting information is to help ________ users make decisions while the purpose of financial accounting is to help ________ users make decisions.

Accepted Answer

internal; external
a

Question 5

Use the cost information below for Laurels Company to determine the manufacturing costs added during the current year:

Accepted Answer

A) $12,000. 
B) $16,100. 
C) $17,100. 
D) $18,100. 
E) $13,600. 
A) $12,000. 
B) $16,100. 
C) $17,100. 
D) $18,100. 
E) $13,600.

Question 6

A ________ cost changes in total in proportion to changes in the volume of activity.

Accepted Answer

The answer of A ________ cost changes in total in...

Question 7

The Institute of Management Accountants (IMA)Statement of Ethical Professional Practice requires that management accountants be competent and act with integrity.

Accepted Answer

A) True 
 B)False

Question 8

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

Accepted Answer

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

Question 9

Beginning finished goods inventory plus cost of goods manufactured minus ending finished goods inventory equals cost of goods sold.

Accepted Answer

A) True 
 B)False

Question 10

For a manufacturer,the cost of goods sold can be computed by adding the beginning finished goods inventory to ________ and then subtracting the ending finished goods inventory.

Accepted Answer

cost of go

Question 11

Costs that flow directly to the current income statement and are not reported as assets are ________ costs.

Accepted Answer

The answer of Costs that flow directly to the current...

Question 12

An employee is dissatisfied with the resolution of an ethical conflict with his supervisor at his place of employment.According to the Institute of Management Accountants,the employee's next step should be to:

Accepted Answer

A) contact the IMA. 
B) contact the next level of management who is not involved in the ethical conflict. 
C) make the president of the company aware of the ethical conflict. 
D) report the incident to the State Board of Accountancy. 
E) resign from the company. 
A) contact the IMA. 
B) contact the next level of management who is not involved in the ethical conflict. 
C) make the president of the company aware of the ethical conflict. 
D) report the incident to the State Board of Accountancy. 
E) resign from the company.

Question 13

Match between columns
                        Premises: Period costs
Product costs
Indirect costs
Direct materials
Prime costs
Factory overhead
Direct labor
Conversion costs
Fixed costs
Variable costs

Accepted Answer

The Answer of Manufacturing costs that cannot be separately or is...

Question 14

Which of the following should not be included in direct materials costs for a bike manufacturer?

Accepted Answer

A) Tires. 
B) Machine lubrication oil. 
C) Seats. 
D) Pedals. 
E) Handlebars. 
A) Tires. 
B) Machine lubrication oil. 
C) Seats. 
D) Pedals. 
E) Handlebars.

Question 15

Materials that are used in manufacturing but are not clearly identified with specific product units are called:

Accepted Answer

A) Secondary materials. 
B) General materials. 
C) Direct materials. 
D) Indirect materials. 
E) Materials inventory. 
A) Secondary materials. 
B) General materials. 
C) Direct materials. 
D) Indirect materials. 
E) Materials inventory.

Question 16

Comet Company accumulated the following account information for the year:   Using the above information,total factory overhead costs equal:

Accepted Answer

A) $9,800. 
B) $16,800. 
C) $15,800. 
D) $13,000. 
E) $7,800. 
A) $9,800. 
B) $16,800. 
C) $15,800. 
D) $13,000. 
E) $7,800.

Question 17

Factory overhead includes selling and administrative expenses because they are indirect costs of a product.

Accepted Answer

A) True 
 B)False

Question 18

The focus of managerial accounting information is on the organization as a whole.

Accepted Answer

A) True 
 B)False

Question 19

Which of the following items does not represent a difference between financial and managerial accounting?

Accepted Answer

A) Users of the information. 
B) Flexibility of reporting. 
C) Timeliness of information. 
D) Focus of the information. 
E) Managerial accounting does not use the financial information from the financial accounting system. 
A) Users of the information. 
B) Flexibility of reporting. 
C) Timeliness of information. 
D) Focus of the information. 
E) Managerial accounting does not use the financial information from the financial accounting system.

Question 20

The schedule of cost of goods manufactured is also known as a manufacturing statement.

Accepted Answer

A) True 
 B)False

Exam 14: Managerial Accounting Concepts and Principles

A financial report that summarizes the amounts and types of costs that were incurred in the manufacturing process during the period is a:

Costs that flow directly to the income statement as expenses are called:

Current information for the Stellar Corporation follows: Stellar Corporation's cost of goods manufactured for the year is:

The purpose of managerial accounting information is to help ________ users make decisions while the purpose of financial accounting is to help ________ users make decisions.

Use the cost information below for Laurels Company to determine the manufacturing costs added during the current year:

A ________ cost changes in total in proportion to changes in the volume of activity.

The Institute of Management Accountants (IMA)Statement of Ethical Professional Practice requires that management accountants be competent and act with integrity.

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

Beginning finished goods inventory plus cost of goods manufactured minus ending finished goods inventory equals cost of goods sold.

For a manufacturer,the cost of goods sold can be computed by adding the beginning finished goods inventory to ________ and then subtracting the ending finished goods inventory.

Costs that flow directly to the current income statement and are not reported as assets are ________ costs.

An employee is dissatisfied with the resolution of an ethical conflict with his supervisor at his place of employment.According to the Institute of Management Accountants,the employee's next step should be to:

Which of the following should not be included in direct materials costs for a bike manufacturer?

Materials that are used in manufacturing but are not clearly identified with specific product units are called:

Comet Company accumulated the following account information for the year: Using the above information,total factory overhead costs equal:

Factory overhead includes selling and administrative expenses because they are indirect costs of a product.

The focus of managerial accounting information is on the organization as a whole.

Which of the following items does not represent a difference between financial and managerial accounting?

The schedule of cost of goods manufactured is also known as a manufacturing statement.

Accounting in Business

Accounting for Business Transactions

Adjusting Accounts for Financial Statements

Accounting for Merchandising Operations

Inventories and Cost of Sales

Cash,fraud,and Internal Controls

Accounting for Receivables

Accounting for Long-Term Assets

Accounting for Current Liabilities

Accounting for Long-Term Liabilities

Corporate Reporting and Analysis

Reporting Cash Flows

Analysis of Financial Statements

Job Order Costing and Analysis

Process Costing and Analysis

Activity-Based Costing and Analysis

Cost Behavior and Cost-Volume-Profit Analysis

Variable Costing and Analysis

Master Budgets and Performance Planning

Flexible Budgets and Standard Costs

Performance Measurement and Responsibility Accounting

Relevant Costing for Managerial Decisions

Capital Budgeting and Investment Analysis

Time Value of Money

Investments

Lean Principles and Accounting

Filters

The purpose of managerial accounting information is to help users make decisions while the purpose of financial accounting is to help users make decisions.