Exam 16: Managerial Accounting Concepts and Principles

The aspects of the management process are listed below. Match each phase to the appropriate description. _____ Planning _____ Directing _____ Controlling _____ Improving _____ Decision making a) Used by managers for continuous improvement b) Managers must decide how to respond to unfavorable performances c) Used by management to develop the organization's objectives and goals d) Monitoring the operating results of implemented plans and comparing actual results e) Managers run their day to day activities

Goods that are partway through the manufacturing process, but not yet complete, are referred to as materials inventory.

Work in process inventory on December 31, 2011, is $44,000. Work in process inventory increased by 60% during 2011. Cost of goods manufactured for 2011 amounts to $275,000. What are the total manufacturing costs incurred in 2011?

Who are the individuals charged with the responsibility for directing the day-to-day operations of a business?

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

Product costs

Williams Company reports production costs for 2015 as follows: Williams Company's period costs for 2015 amount to:

Which of the following costs are referred to as conversion costs?

Labor costs that are directly traceable to the product are part of factory overhead.

Watson Company has the following data: Show how you would calculate the amount of Direct Materials Used.

If the cost of employee wages is not a significant portion of the total product cost, the wages are classified as direct materials cost.

Controlling deals with choosing goals and deciding how to achieve them.

Which of the following is false in regards to direct materials for an auto manufacturer?

Which of the following is considered a part of factory overhead cost?

Cost of goods manufactured is equal to: