Question 1

Inventory control performs all of the following tasks except it

Accepted Answer

A)  provides production planning and control with the inventory status report of finished goods 
B)  updates the raw material inventory records 
C)  prepares a materials requisition for each production batch 
D)  records the completed production as an increase to finished goods inventory 
A)  provides production planning and control with the inventory status report of finished goods 
B)  updates the raw material inventory records 
C)  prepares a materials requisition for each production batch 
D)  records the completed production as an increase to finished goods inventory

Question 2

Firms hold safety stock to compensate for

Accepted Answer

A)  mathematical weaknesses of the Economic Order Quantity model 
B)  variations in lead time or daily demand 
C)  fluctuations in carrying costs 
D)  uncertainty in the estimation of ordering costs 
A)  mathematical weaknesses of the Economic Order Quantity model 
B)  variations in lead time or daily demand 
C)  fluctuations in carrying costs 
D)  uncertainty in the estimation of ordering costs

Question 3

The cost accounting system authorizes the release of raw materials into production.

Accepted Answer

A) True 
 B)False

Question 4

What information is contained in the bill of materials (BOM)?

Accepted Answer

The BOM specifies the types an

Question 5

Which function is not a part of the batch production process?

Accepted Answer

A)  Plan and control production 
B)  Prepare purchase orders 
C)  Maintain inventory control 
D)  Perform cost accounting 
A)  Plan and control production 
B)  Prepare purchase orders 
C)  Maintain inventory control 
D)  Perform cost accounting

Question 6

What document triggers the beginning of the cost accounting process for a given production run?

Accepted Answer

The work order from the produc

Question 7

The only objective of the Just-In-Time philosophy is to reduce inventory levels.

Accepted Answer

A) True 
 B)False

Question 8

List one authorization control in the traditional manufacturing environment.

Accepted Answer

work orders prepared by produc

Question 9

Which statement is not correct?

Accepted Answer

A)  general ledger creates a new cost record upon receipt of a work order from production planning and control 
B)  cost accounting updates the cost record with data gathered from the materials requisition 
C)  general ledger posts summary information about the manufacturing process based on a journal voucher prepared by cost accounting 
D)  cost accounting computes variances and applies overhead to individual cost records 
A)  general ledger creates a new cost record upon receipt of a work order from production planning and control 
B)  cost accounting updates the cost record with data gathered from the materials requisition 
C)  general ledger posts summary information about the manufacturing process based on a journal voucher prepared by cost accounting 
D)  cost accounting computes variances and applies overhead to individual cost records

Question 10

Cement and petrochemicals are produced by the batch manufacturing method.

Accepted Answer

A) True 
 B)False

Question 11

Reports generated by the cost accounting system include performance reports and budget reports.

Accepted Answer

A) True 
 B)False

Question 12

The storekeeper releases raw materials based on the

Accepted Answer

A)  production schedule 
B)  materials requisition 
C)  work order 
D)  bill of materials 
A)  production schedule 
B)  materials requisition 
C)  work order 
D)  bill of materials

Question 13

Discuss the key segregations of duties that should exist in the traditional manufacturing environment.

Accepted Answer

Production planning and control should b

Question 14

Which of the following is not a principle of lean manufacturing?

Accepted Answer

A)  Products are pushed from the production end to the customer 
B)  All activities that do not add value and maximize the use of scarce resources must be eliminated 
C)  Achieve high inventory turnover rate. 
D)  A lean manufacturing firm must have established and cooperative relationships with vendors 
E)  All of the above are lean manufacturing principles. 
A)  Products are pushed from the production end to the customer 
B)  All activities that do not add value and maximize the use of scarce resources must be eliminated 
C)  Achieve high inventory turnover rate. 
D)  A lean manufacturing firm must have established and cooperative relationships with vendors 
E)  All of the above are lean manufacturing principles.

Question 15

Outline the characteristic of a world-class company.

Accepted Answer

World-class companies must maintain stra

Question 16

Which of the following would not be included as a value stream cost?

Accepted Answer

A)  Labor costs of employees who simply transport the product from cell to cell. 
B)  Labor costs of employees who design the product. 
C)  A charge per square foot for the value stream production facility including cost of rent and building maintenance. 
D)  All of the above are value stream costs 
A)  Labor costs of employees who simply transport the product from cell to cell. 
B)  Labor costs of employees who design the product. 
C)  A charge per square foot for the value stream production facility including cost of rent and building maintenance. 
D)  All of the above are value stream costs

Question 17

When one of the following statements is true?

Accepted Answer

A)  ERP evolved directly from MRP. 
B)  ERP evolved into MRP and MRP evolved into MRP II 
C)  MRP II evolved from MRP and MRP II evolved into ERP 
D)  None of the above is true. 
A)  ERP evolved directly from MRP. 
B)  ERP evolved into MRP and MRP evolved into MRP II 
C)  MRP II evolved from MRP and MRP II evolved into ERP 
D)  None of the above is true.

Question 18

Move tickets authorize the storekeeper to release materials to work centers.

Accepted Answer

A) True 
 B)False

Question 19

Contrast the treatment of inventories in the traditional manufacturing environment and the lean manufacturing environment.

Accepted Answer

In the traditional manufacturing environ

Question 20

An example of automation of manufacturing design is

Accepted Answer

A)  Computer Aided Engineering 
B)  Automated Storage and Retrieval Systems 
C)  Computer Numerical Control 
D)  robotics 
A)  Computer Aided Engineering 
B)  Automated Storage and Retrieval Systems 
C)  Computer Numerical Control 
D)  robotics

Inventory control performs all of the following tasks except it

Firms hold safety stock to compensate for

The cost accounting system authorizes the release of raw materials into production.

What information is contained in the bill of materials (BOM)?

Which function is not a part of the batch production process?

What document triggers the beginning of the cost accounting process for a given production run?

The only objective of the Just-In-Time philosophy is to reduce inventory levels.

List one authorization control in the traditional manufacturing environment.

Which statement is not correct?

Cement and petrochemicals are produced by the batch manufacturing method.

Reports generated by the cost accounting system include performance reports and budget reports.

The storekeeper releases raw materials based on the

Discuss the key segregations of duties that should exist in the traditional manufacturing environment.

Which of the following is not a principle of lean manufacturing?

Outline the characteristic of a world-class company.

Which of the following would not be included as a value stream cost?

When one of the following statements is true?

Move tickets authorize the storekeeper to release materials to work centers.

Contrast the treatment of inventories in the traditional manufacturing environment and the lean manufacturing environment.

An example of automation of manufacturing design is

The Information System: An Accountant’s Perspective

Introduction to Transaction Processing

Ethics, Fraud, and Internal Control

The Revenue Cycle

The Expenditure Cycle Part I: Purchases and Cash Disbursements Procedures

The Expenditure Cycle Part II: Payroll Processing and Fixed Asset Procedures

General Ledger, Financial Reporting, and Management Reporting Systems

Database Management Systems

The REA Approach to Business Process Modeling

Enterprise Resource Planning Systems

Electronic Commerce Systems

Managing the Systems Development Life Cycle

Construct, Deliver, and Maintain Systems Projects

IT Controls : Sarbanes-Oxley and IT Governance

IT Controls : Security and Access

IT Controls : Systems Development Program Changes and Application Controls

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Exam 7: The Conversion Cycle

Inventory control performs all of the following tasks except it

Firms hold safety stock to compensate for

The cost accounting system authorizes the release of raw materials into production.

What information is contained in the bill of materials (BOM)?

Which function is not a part of the batch production process?

What document triggers the beginning of the cost accounting process for a given production run?

The only objective of the Just-In-Time philosophy is to reduce inventory levels.

List one authorization control in the traditional manufacturing environment.

Which statement is not correct?

Cement and petrochemicals are produced by the batch manufacturing method.

Reports generated by the cost accounting system include performance reports and budget reports.

The storekeeper releases raw materials based on the

Discuss the key segregations of duties that should exist in the traditional manufacturing environment.

Which of the following is not a principle of lean manufacturing?

Outline the characteristic of a world-class company.

Which of the following would not be included as a value stream cost?

When one of the following statements is true?

Move tickets authorize the storekeeper to release materials to work centers.

Contrast the treatment of inventories in the traditional manufacturing environment and the lean manufacturing environment.

An example of automation of manufacturing design is

The Information System: An Accountant’s Perspective

Introduction to Transaction Processing

Ethics, Fraud, and Internal Control

The Revenue Cycle

The Expenditure Cycle Part I: Purchases and Cash Disbursements Procedures

The Expenditure Cycle Part II: Payroll Processing and Fixed Asset Procedures

General Ledger, Financial Reporting, and Management Reporting Systems

Database Management Systems

The REA Approach to Business Process Modeling

Enterprise Resource Planning Systems

Electronic Commerce Systems

Managing the Systems Development Life Cycle

Construct, Deliver, and Maintain Systems Projects

IT Controls : Sarbanes-Oxley and IT Governance

IT Controls : Security and Access

IT Controls : Systems Development Program Changes and Application Controls

Filters