Exam 1: Managerial Accounting Concepts and Principles

Mustang Corporation reports the following for the month of April: Finished goods inventory, April 1 \3 0,200 Finished goods inventory, April 30 24,600 Total cost of goods manufactured 114,500 The cost of goods sold for April is:

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

All of the following statements regarding manufacturing costs are true except:

Current information for the Healey Company follows: All raw materials used were traceable to specific units of product. Healey Company's cost of goods manufactured for the year is:

A direct cost is a cost that is:

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

If the cost of the beginning work in process inventory is $60,000, costs of goods manufactured is $890,000, direct materials cost is $330,000, direct labor cost is $210,000, and overhead cost is $315,000, calculate the ending work in process inventory.

Flash Company produces lamps. All of the following are direct costs except:

Using the information below, calculate gross profit for the period: Sales revenues for the period \ 1,304,000 Operating expenses for the period 239,000 Finished Goods Inventory, January 1 36,000 Finished Goods Inventory, December 31 41,000 Cost of goods manufactured for the period 540,000

Use the following data to determine the cost of goods manufactured: Beginning finished goods inventory \ 10,800 Direct labor used 30,600 Beginning work in process inventory 7,200 General and administrative expenses 13,500 Direct materials used 40,500 Ending work in process inventory 9,000 Indirect labor 6,300 Ending finished goods inventory 9,500 Indirect materials 13,500 Depreciation-factory equipment 7,500

The management concept of customer orientation motivates a company to spend large amounts on advertising to convince customers to buy the company's standard products.

A manufacturing company's beginning finished goods inventory was $29,000; cost of goods manufactured for the year was $316,000; and the ending finished goods inventory was $31,000. What is the cost of goods sold for the year?

________ means that managers and employees understand the changing needs and wants of customers and align management and operating practices accordingly.

List the four goals of an internal control system.

Information for the Deuce Manufacturing Company follows. Compute the cost of goods manufactured for this company. Beginning raw materials inventory \ 53,200 Beginning work in process, inventory 78,400 Ending raw materials inventory 58,100 Ending work in process, inventory 98,000 Direct labor 149,800 Total factory overhead 105,000 Raw material purchases 210,000

A management concept that seeks to uncover and eliminate waste in business activities is called:

Direct costs can be traced to more than one cost object.

Straight-line depreciation, rent, and manager salaries are examples of variable costs.

Information for Maxim Manufacturing is presented below. Compute both the cost of goods manufactured and the cost of goods sold for Maxim Manufacturing. Beginning raw materials inventor \ 36,800 Beginning work in process inventory 21,200 Direct labor 81,000 Beginning finished goods inventory 64,000 Total factory overhead 126,000 Raw materials purchased 21,500 Ending raw materials inventory 40,000 Ending work in process inventory 20,000 Ending finished goods inventory 46,000

A company's prime costs total $4,500,000 and its conversion costs total $5,500,000. If direct materials costs are $2,000,000, calculate the overhead costs: