Question 1

Managerial accounting is also called

Accepted Answer

A)  management accounting. 
B)  controlling. 
C)  analytical accounting. 
D)  inside reporting. 
A)  management accounting. 
B)  controlling. 
C)  analytical accounting. 
D)  inside reporting.

Question 2

Rabid Manufacturing Company has the following data:   
Instructions
Compute (a) total manufacturing costs and (b) total cost of work in process.

Accepted Answer

The answer of Rabid Manufacturing Company has the following data:...

Question 3

Financial and managerial accounting are similar in that both

Accepted Answer

A)  have the same primary users. 
B)  produce general-purpose reports. 
C)  have reports that are prepared quarterly and annually. 
D)  deal with the economic events of an enterprise. 
A)  have the same primary users. 
B)  produce general-purpose reports. 
C)  have reports that are prepared quarterly and annually. 
D)  deal with the economic events of an enterprise.

Question 4

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

Accepted Answer

A) True 
 B)False

Question 5

Fill in the missing information on the cost of goods manufactured schedule of Noland Manufacturing Company:

Accepted Answer

The answer of Fill in the missing information on the...

Question 6

Presented below are incomplete 2010 manufacturing cost data for Supreme Corporation.   
Instructions
Determine the missing amounts.

Accepted Answer

The answer of Presented below are incomplete 2010 manufacturing cost...

Question 7

Which one of the following characteristics would likely be associated with a just-in-time inventory method?

Accepted Answer

A)  Ending inventory of work in process that would allow several production runs 
B)  A backlog of inventory orders not yet shipped 
C)  Minimal finished goods inventory on hand 
D)  An understanding with customers that they may come to the showroom and select from inventory on hand 
A)  Ending inventory of work in process that would allow several production runs 
B)  A backlog of inventory orders not yet shipped 
C)  Minimal finished goods inventory on hand 
D)  An understanding with customers that they may come to the showroom and select from inventory on hand

Question 8

Presented below are incomplete 2010 manufacturing cost data for Swartnez Corporation.   
Instructions
Determine the missing amounts.

Accepted Answer

The answer of Presented below are incomplete 2010 manufacturing cost...

Question 9

As current technology changes manufacturing processes, it is likely that direct

Accepted Answer

A)  labor will increase. 
B)  labor will decrease. 
C)  materials will increase. 
D)  materials will decrease. 
A)  labor will increase. 
B)  labor will decrease. 
C)  materials will increase. 
D)  materials will decrease.

Question 10

Raw materials inventory shows the cost of completed goods available for sale to customers.

Accepted Answer

A) True 
 B)False

Question 11

Assuming that the cost of goods manufactured is $2,760,000 compute the cost of goods sold using the following information.

Accepted Answer

A)  $2,769,000. 
B)  $2,712,000. 
C)  $2,748,000. 
D)  $2,772,000. 
A)  $2,769,000. 
B)  $2,712,000. 
C)  $2,748,000. 
D)  $2,772,000.

Question 12

Both direct labor cost and indirect labor cost are product costs.

Accepted Answer

A) True 
 B)False

Question 13

Because of automation, which component of product cost is declining?

Accepted Answer

A)  Direct labor 
B)  Direct materials 
C)  Manufacturing overhead 
D)  Advertising 
A)  Direct labor 
B)  Direct materials 
C)  Manufacturing overhead 
D)  Advertising

Question 14

Manufacturing costs include

Accepted Answer

A)  direct materials and direct labor only. 
B)  direct materials and manufacturing overhead only. 
C)  direct labor and manufacturing overhead only. 
D)  direct materials, direct labor, and manufacturing overhead. 
A)  direct materials and direct labor only. 
B)  direct materials and manufacturing overhead only. 
C)  direct labor and manufacturing overhead only. 
D)  direct materials, direct labor, and manufacturing overhead.

Question 15

A manufacturing company calculates cost of goods sold as follows:

Accepted Answer

A)  Beginning FG inventory + cost of goods purchased - ending FG inventory. 
B)  Ending FG inventory - cost of goods manufactured + beginning FG inventory. 
C)  Beginning FG inventory - cost of goods manufactured - ending FG inventory. 
D)  Beginning FG inventory + cost of goods manufactured - ending FG inventory. 
A)  Beginning FG inventory + cost of goods purchased - ending FG inventory. 
B)  Ending FG inventory - cost of goods manufactured + beginning FG inventory. 
C)  Beginning FG inventory - cost of goods manufactured - ending FG inventory. 
D)  Beginning FG inventory + cost of goods manufactured - ending FG inventory.

Question 16

Which one of the following is not a direct material?

Accepted Answer

A)  A tire used for a lawn mower 
B)  Plastic used in the covered case for a home PC 
C)  Steel used in the manufacturing of steel-radial tires 
D)  Lubricant for a ball-bearing joint for a large crane 
A)  A tire used for a lawn mower 
B)  Plastic used in the covered case for a home PC 
C)  Steel used in the manufacturing of steel-radial tires 
D)  Lubricant for a ball-bearing joint for a large crane

Question 17

If the total manufacturing costs are greater than the cost of goods manufactured, which of the following is correct?

Accepted Answer

A)  Work in Process Inventory has increased. 
B)  Finished Goods Inventory has increased. 
C)  Work in Process Inventory has decreased. 
D)  Finished Goods Inventory has decreased. 
A)  Work in Process Inventory has increased. 
B)  Finished Goods Inventory has increased. 
C)  Work in Process Inventory has decreased. 
D)  Finished Goods Inventory has decreased.

Question 18

Among the items that Howard Print Shop accounts for are the following:
1. Direct labor
2. Office supplies used
3. Depreciation on printing machines
4. Finished goods inventory, 12/31
5. Raw materials inventory, 1/1
6. Cost of goods manufactured
7. Work in process, 1/1
8. Office supplies inventory, 12/31
9. Indirect labor
10. Heat and electricity for the print shop
Howard Print Shop prepares the following schedule and financial statements on a yearly basis:
(a) Cost of goods manufactured schedule.
(b) Income statement.
(c) Balance sheet.
Instructions
For each item, indicate by using the appropriate letter(s) the schedule and/or financial statements in which the item will appear.

Accepted Answer

1. Direct labor (a)
2. Office supplies u

Question 19

The three cost elements in manufacturing a product are (1)______________, (2)______________, and (3)______________.

Accepted Answer

direct materials, di

Question 20

The subtotal, "Cost of goods manufactured" appears on

Accepted Answer

A)  a merchandising company's income statement. 
B)  a manufacturing company's income statement. 
C)  both a manufacturing and a merchandising company's income statement. 
D)  neither a merchandising nor a manufacturing company's income statement. 
A)  a merchandising company's income statement. 
B)  a manufacturing company's income statement. 
C)  both a manufacturing and a merchandising company's income statement. 
D)  neither a merchandising nor a manufacturing company's income statement.

Exam 19: Managerial Accounting

Managerial accounting is also called

Rabid Manufacturing Company has the following data: Instructions Compute (a) total manufacturing costs and (b) total cost of work in process.

Financial and managerial accounting are similar in that both

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

Fill in the missing information on the cost of goods manufactured schedule of Noland Manufacturing Company:

Presented below are incomplete 2010 manufacturing cost data for Supreme Corporation. Instructions Determine the missing amounts.

Which one of the following characteristics would likely be associated with a just-in-time inventory method?

Presented below are incomplete 2010 manufacturing cost data for Swartnez Corporation. Instructions Determine the missing amounts.

As current technology changes manufacturing processes, it is likely that direct

Raw materials inventory shows the cost of completed goods available for sale to customers.

Assuming that the cost of goods manufactured is $2,760,000 compute the cost of goods sold using the following information.

Both direct labor cost and indirect labor cost are product costs.

Because of automation, which component of product cost is declining?

Manufacturing costs include

A manufacturing company calculates cost of goods sold as follows:

Which one of the following is not a direct material?

If the total manufacturing costs are greater than the cost of goods manufactured, which of the following is correct?

The three cost elements in manufacturing a product are (1)______________, (2)______________, and (3)______________.

The subtotal, "Cost of goods manufactured" appears on

Accounting in Action

The Recording Process

Adjusting the Accounts

Completing the Accounting Cycle

Accounting for Merchandising Operations

Inventories

Accounting Information Systems

Fraud, Internal Control, and Cash

Accounting for Receivables

Plant Assets, Natural Resources, and Intangible Assets

Current Liabilities and Payroll Accounting

Accounting for Partnerships

Corporations: Organization and Capital Stock Transactions

Corporations: Dividends, Retained Earnings, and Income Reporting

Long-Term Liabilities

Investments

Statement of Cash Flows

Financial Analysis: the Big Picture

Job Order Costing

Process Costing

Cost-Volume-Profit

Incremental Analysis

Budgetary Planning

Budgetary Control and Responsibility Accounting

Standard Costs and Balanced Scorecard

Filters

The three cost elements in manufacturing a product are (1), (2), and (3)__.