Question 1

The following are some of the costs incurred by Cupcake Company.Identify them as either:
-Salesman commissions

Accepted Answer

A) Prime costs 
B) Conversion costs 
C) Both prime and conversion costs 
D) Neither prime or conversion costs 
A) Prime costs 
B) Conversion costs 
C) Both prime and conversion costs 
D) Neither prime or conversion costs

Question 2

A plant manager's salary is

Accepted Answer

A) a direct cost and an indirect cost 
B) a direct cost 
C) an indirect cost 
D) a period cost 
A) a direct cost and an indirect cost 
B) a direct cost 
C) an indirect cost 
D) a period cost

Question 3

A staff department or unit is one that provides services, assistance, and advice to the departments with line or other staff responsibilities.

Accepted Answer

A) True 
 B)False

Question 4

Prime costs are the combination of direct labor costs and factory overhead costs.

Accepted Answer

A) True 
 B)False

Question 5

Which of the following is an example of a factory overhead cost?

Accepted Answer

A) repair and maintenance cost on the administrative building 
B) factory heating and lighting cost 
C) insurance premiums on salespersons' automobiles 
D) president's salary 
A) repair and maintenance cost on the administrative building 
B) factory heating and lighting cost 
C) insurance premiums on salespersons' automobiles 
D) president's salary

Question 6

Rent expense on a factory building would be treated as an

Accepted Answer

A) period cost 
B) product cost 
C) indirect cost 
D) direct material cost 
A) period cost 
B) product cost 
C) indirect cost 
D) direct material cost

Question 7

Managerial information is for external as well as internal stakeholders.

Accepted Answer

A) True 
 B)False

Question 8

Accounting designed to meet the needs of decision makers inside the business is

Accepted Answer

A) general accounting 
B) financial accounting 
C) managerial accounting 
D) external accounting 
A) general accounting 
B) financial accounting 
C) managerial accounting 
D) external accounting

Question 9

Keeton Company had the following data:
Cost of materials used $60,000
Direct labor costs 58,000
Factory overhead 33,000
Work in process, beg.29,000
Work in process, end.18,000
Finished goods, beg.32,000
Finished goods, end.18,000
Calculate the cost of goods sold.

Accepted Answer

Cost of goods sold =

Question 10

Zoe Corporation has the following information for the month of March:
   Prepare a a schedule of cost of goods manufactured, b an income statement for the month ended March 31, and c the inventory section of the balance sheet.

Accepted Answer

The answer of Zoe Corporation has the following information for...

Question 11

Which of the following is not a factory overhead cost?

Accepted Answer

A) materials used directly in the manufacturing process of the product 
B) insurance on factory equipment 
C) salaries of production supervisors 
D) property tax on factory building 
A) materials used directly in the manufacturing process of the product 
B) insurance on factory equipment 
C) salaries of production supervisors 
D) property tax on factory building

Question 12

Indirect costs incurred in a manufacturing environment that cannot be traced directly to a product are treated as

Accepted Answer

A) period costs and expensed when incurred 
B) product costs and expensed when the goods are sold 
C) product costs and expensed when incurred 
D) period costs and expensed when the goods are sold 
A) period costs and expensed when incurred 
B) product costs and expensed when the goods are sold 
C) product costs and expensed when incurred 
D) period costs and expensed when the goods are sold

Question 13

Managerial accounting reports must be prepared according to generally accepted accounting principles.

Accepted Answer

A) True 
 B)False

Question 14

Prime costs are

Accepted Answer

A) direct materials and factory overhead 
B) direct materials and direct labor 
C) direct labor and factory overhead 
D) period costs and factory overhead 
A) direct materials and factory overhead 
B) direct materials and direct labor 
C) direct labor and factory overhead 
D) period costs and factory overhead

Question 15

What is the primary criterion for the preparation of managerial accounting reports?

Accepted Answer

A) relevance of the reports 
B) manager needs 
C) timing of the reports 
D) cost of the reports 
A) relevance of the reports 
B) manager needs 
C) timing of the reports 
D) cost of the reports

Question 16

A report analyzing the dollar savings of purchasing new equipment to speed up the production process is a managerial accounting report.

Accepted Answer

A) True 
 B)False

Question 17

Which of the following would be least likely to be considered a managerial accounting report?

Accepted Answer

A) a report to analyze potential efficiencies and savings for the purchase of new production equipment 
B) a schedule of total manufacturing costs incurred 
C) a statement of cost of goods manufactured 
D) a statement of stockholders' equity 
A) a report to analyze potential efficiencies and savings for the purchase of new production equipment 
B) a schedule of total manufacturing costs incurred 
C) a statement of cost of goods manufactured 
D) a statement of stockholders' equity

Question 18

Match each description to the appropriate term a-d.
a direct materials
b selling and administrative expense
c factory overhead
d direct labor

Accepted Answer

1 c
2 b
3

Question 19

Conversion cost is the combination of direct materials cost and factory overhead cost.

Accepted Answer

A) True 
 B)False

Question 20

Which of the following statements is false?

Accepted Answer

A) There is no overlap between financial and managerial accounting. 
B) Managerial accounting sometimes relies on past information. 
C) Managerial accounting does not need to conform to GAAP. 
D) Financial accounting must conform to GAAP. 
A) There is no overlap between financial and managerial accounting. 
B) Managerial accounting sometimes relies on past information. 
C) Managerial accounting does not need to conform to GAAP. 
D) Financial accounting must conform to GAAP.

The following are some of the costs incurred by Cupcake Company.Identify them as either: -Salesman commissions

A plant manager's salary is

A staff department or unit is one that provides services, assistance, and advice to the departments with line or other staff responsibilities.

Prime costs are the combination of direct labor costs and factory overhead costs.

Which of the following is an example of a factory overhead cost?

Rent expense on a factory building would be treated as an

Managerial information is for external as well as internal stakeholders.

Accounting designed to meet the needs of decision makers inside the business is

Keeton Company had the following data: Cost of materials used $60,000 Direct labor costs 58,000 Factory overhead 33,000 Work in process, beg.29,000 Work in process, end.18,000 Finished goods, beg.32,000 Finished goods, end.18,000 Calculate the cost of goods sold.

Zoe Corporation has the following information for the month of March: Prepare a a schedule of cost of goods manufactured, b an income statement for the month ended March 31, and c the inventory section of the balance sheet.

Which of the following is not a factory overhead cost?

Indirect costs incurred in a manufacturing environment that cannot be traced directly to a product are treated as

Managerial accounting reports must be prepared according to generally accepted accounting principles.

Prime costs are

What is the primary criterion for the preparation of managerial accounting reports?

A report analyzing the dollar savings of purchasing new equipment to speed up the production process is a managerial accounting report.

Which of the following would be least likely to be considered a managerial accounting report?

Match each description to the appropriate term a-d. a direct materials b selling and administrative expense c factory overhead d direct labor

Conversion cost is the combination of direct materials cost and factory overhead cost.

Which of the following statements is false?

Job Order Costing

Process Cost Systems

Cost Behavior and Cost-Volume-Profit Analysis

Variable Costing for Management Analysis

Budgeting

Performance Evaluation Using Variances From Standard Costs

Performance Evaluation for Decentralized Operations

Differential Analysis, Product Pricing, and Activity-Based Costing

Capital Investment Analysis

Cost Allocation and Activity-Based Costing

Lean Principles, Lean Accounting, and Activity Analysis

Statement of Cash Flows

Financial Statement Analysis

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Exam 1: Managerial Accounting Concepts and Principles

The following are some of the costs incurred by Cupcake Company.Identify them as either: -Salesman commissions

A plant manager's salary is

A staff department or unit is one that provides services, assistance, and advice to the departments with line or other staff responsibilities.

Prime costs are the combination of direct labor costs and factory overhead costs.

Which of the following is an example of a factory overhead cost?

Rent expense on a factory building would be treated as an

Managerial information is for external as well as internal stakeholders.

Accounting designed to meet the needs of decision makers inside the business is

Keeton Company had the following data: Cost of materials used $60,000 Direct labor costs 58,000 Factory overhead 33,000 Work in process, beg.29,000 Work in process, end.18,000 Finished goods, beg.32,000 Finished goods, end.18,000 Calculate the cost of goods sold.

Zoe Corporation has the following information for the month of March: Prepare a a schedule of cost of goods manufactured, b an income statement for the month ended March 31, and c the inventory section of the balance sheet.

Which of the following is not a factory overhead cost?

Indirect costs incurred in a manufacturing environment that cannot be traced directly to a product are treated as

Managerial accounting reports must be prepared according to generally accepted accounting principles.

Prime costs are

What is the primary criterion for the preparation of managerial accounting reports?

A report analyzing the dollar savings of purchasing new equipment to speed up the production process is a managerial accounting report.

Which of the following would be least likely to be considered a managerial accounting report?

Match each description to the appropriate term a-d. a direct materials b selling and administrative expense c factory overhead d direct labor

Conversion cost is the combination of direct materials cost and factory overhead cost.

Which of the following statements is false?

Job Order Costing

Process Cost Systems

Cost Behavior and Cost-Volume-Profit Analysis

Variable Costing for Management Analysis

Budgeting

Performance Evaluation Using Variances From Standard Costs

Performance Evaluation for Decentralized Operations

Differential Analysis, Product Pricing, and Activity-Based Costing

Capital Investment Analysis

Cost Allocation and Activity-Based Costing

Lean Principles, Lean Accounting, and Activity Analysis

Statement of Cash Flows

Financial Statement Analysis

Filters