Exam 18: Introduction to Managerial Accounting

Which of the following is TRUE of Just-in-Time (JIT)Management?

Franklin Manufacturing provided the following information for the month ended March 31: Sales Revenue \ 15,000 Beginning Finished Goods Inventory 11,000 Ending Finished Goods Inventory 9500 Cost of Goods Manufactured 19,600 Compute cost of goods sold.

What is Total Quality Management (TQM)?

An Enterprise Resource Planning system (ERP)________.

In a manufacturing company,wages and benefits of factory managers are treated as product costs.

A company's organizational chart shows the relationships between departments and divisions and the managers that are responsible for each section.

Which of the following is an example of a period cost for a manufacturing company?

Selected data for Lemon Grass,Inc.for the year are provided below: Factory Utilities \ 1000 Indirect Materials Used 34,000 Direct Materials Used 292,000 Property Taxes on Factory Building 5900 Sales Commissions 85,000 Indirect Labor Incurred 22,000 Direct Labor Incurred 150,000 Depreciation on Factory Equipment 6800 What is the total manufacturing overhead?

Classify each cost of a furniture manufacturer as either a product cost (PR)or a period cost (PE). Cost PR or PE Nice president of marketing's salary Delivery expense Wood used to make dining tables Depreciation on office equipment Production supervisor's salary Factory insurance Corporate office rent

Match each term with its correct definition. -An accounting field that helps managers plan and control operations.

Manufacturing costs flow from Work-in-Process Inventory to Cost of Goods Sold to Finished Goods Inventory.

Repair and maintenance costs for manufacturing equipment are included in manufacturing overhead.

Which of the following is a period cost for a manufacturing company?

Ryker Manufacturing,Inc.provided the following information for the year: Purchases - Direct Materials \ 91,000 Plant Utilities and Insurance 66,000 Indirect Materials Used 11,240 Indirect Labor 4830 Direct Materials Used in Production 98,000 Direct Labor 118,500 Depreciation on Factory Plant and Equipment 8000 Cost of Goods Manufactured 292,000 Cost of Goods Sold 290,000 The inventory account balances as of January 1 are given below. Direct Materials \ 45,000 Work-in-Progress Inventory 11,000 Finished Goods Inventory 304,570 What is the ending balance in the Finished Goods Inventory?

Darius Manufacturing,Inc.provided the following information for the year: Purchases - Direct Materials \ 90,000 Plant Utilities and Insurance 67,500 Indirect Materials Used 11,040 Indirect Labor 4420 Direct Materials Used in Production 99,000 Direct Labor 119,500 Depreciation on Factory Plant and Equipment 5000 Cost of Goods Manufactured 291,500 The inventory account balances as of January 1 are given below. Direct Materials \ 46,000 Work-in-Process Inventory 1000 Finished Goods Inventory 50,000 What is the ending balance in the Work-in-Process Inventory account?

Given the following information,determine the cost of goods sold. Direct Labor Incurred \ 61,000 Manufacturing Overhead Incurred 176,500 Direct Materials Used 154,000 Finished Goods Inventory, Jan. 1 198,000 Finished Goods Inventory, Dec. 31 98,500 Work-in-Process Inventory, Jan. 1 222,000 Work-in-Process Inventory, Dec. 31 109,000

Factory rent,as well as factory property taxes and insurance,are included in manufacturing overhead.

Which of the following would be considered a product cost for a manufacturing company?

Which of the following is the primary focus of financial accounting?

The wages of factory janitors are considered to be direct labor costs because they are directly related to the manufacturing process.