Exam 19: Managerial Accounting

Managerial accounting information

Managerial accounting information generally pertains to an entity as a whole and is highly aggregated.

Finished goods inventory for a manufacturing company is equivalent to inventory for a merchandising company.

Presented below are incomplete 2016 manufacturing cost data for Tardy Corporation. Direct Materials Used Direct Labor Manufacturing Overhead Total Manufacturing Costs (a) \ 61,000 \ 72,000 \ 54,000 ? (b) ? \ 53,000 \ 90,000 \ 252,000 (c) \ 53,000 ? \ 96,000 \ 310,000 Instructions Determine the missing amounts.

Product costs are also called

Walker Company reported the following year-end information: Beginning work in process inventory \ 46,000 Beginning raw materials inventory 24,000 Ending work in process inventory 50,000 Ending raw materials inventory 20,000 Raw materials purchased 830,000 Direct labor 440,000 Manufacturing overhead 100,000 How much is Walker's cost of goods manufactured for the year?

Assuming that the total manufacturing costs are $3400000 compute the cost of goods manufactured using the information below. Raw materials inventory, January 1 \ 30,000 Raw materials inventory, December 31 60,000 Work in process, January 1 27,000 Work in process, December 31 18,000 Finished goods, January 1 60,000 Finished goods, December 31 48,000 Raw materials purchases 1,800,000 Direct labor 890,000 Factory utilities 225,000 Indirect labor 75,000 Factory depreciation 500,000 Operating expenses 630,000

Raynor Company has the following data: Instructions Compute (a) total manufacturing costs and (b) cost of goods manufactured.

Manufacturing costs for Carson Company for selected months are as follows: April July October Beginning work in process \ 80,000 () \ 88,000 Direct materials used 280,000 \ 190,000 155,000 Direct labor 195,000 170,000 () Manufacturing overhead () 150,000 90,000 Total manufacturing costs 860,000 510,000 450,000 Total cost of work in process () 640,000 () Ending work in process 75,000 () () Cost of goods manufactured () 515,000 385,000 Beginning finished goods () 38,000 () Cost of goods available for sale 960,000 () 480,000 Ending finished goods () 75,000 () Cost of goods sold 820,000 () 355,000 Instructions Indicate the missing amounts. (Show computations.)

Presented below are Truck Company's monthly manufacturing cost data related to its personal computer products. A) Taxes on factory building \ 820,000 B) Raw materials 66,000 C) Depreciation on manufacturing equip. 210,000 D) Wages for assembly line workers 340,000 Instructions Enter each cost item in the following table placing an "X" under the appropriate headings. Product Costs Direct Materials Direct Labor Manufacturing Overhead (a) (b) (c) (d)

What term describes all business processes associated with providing a product or service?

The subtotal "Cost of goods manufactured" appears on

Using the following information compute the cost of direct materials used. Raw materials inventory, January 1 \ 30,000 Raw materials inventory, December 31 60,000 Work in process, January 1 27,000 Work in process, December 31 18,000 Finished goods, January 1 60,000 Finished goods, December 31 48,000 Raw materials purchases 1,800,000 Direct labor 890,000 Factory utilities 225,000 Indirect labor 75,000 Factory depreciation 500,000 Operating expenses 630,000

Kwik Delivery Service reports the following costs and expenses in June 2016. Indirect materials \ 8,400 Driver's salaries \ 17,000 Depreciation on delivery Advertising 5,100 equipment 11,200 Delivery equipment Dispatcher's salary 5,000 repairs 300 Propery taxes on office Office supplies 650 building 870 Office utilities 2,490 CEO's salary 12,000 Repairs on office Gas and oil for delivery trucks 3,200 equipment 180 Instructions Determine the total amount of (a) delivery service (product) costs and (b) period costs.

Planning is a function that involves

Managerial accounting is applicable to

Which of the following is not another name for the term manufacturing overhead?

Listed below are current asset items for Lester Company at December 31 2016. Finished goods inventory \ 35,000 Short-term investments \ 25,000 Cash 22,000 Raw materials inventory 17,000 Prepaid expenses 2,000 Work in process inventory 23,000 Accounts receivable 4,000 Supplies 500 Instructions Prepare the current assets section of the balance sheet. (Include a complete heading.)

A manufacturing company computes cost of goods sold by adding cost of goods manufactured to the ___________________ and subtracting the __________________.

Financial accounting information is prepared mainly for ______________ users while managerial accounting information is prepared primarily for ______________ users.