Question 1

Sule Technologies installed a new production monitoring system that will reduce system breakdowns by 35%.The new system will increase throughput by

Accepted Answer

A) increasing productive capacity. 
B) increasing yield. 
C) increasing productive processing time. 
D) increasing all components of throughput. 
A) increasing productive capacity. 
B) increasing yield. 
C) increasing productive processing time. 
D) increasing all components of throughput.

Question 2

Identify the role below that accountants can play in the production cycle.

Accepted Answer

A) participate in product design 
B) perform cost analysis 
C) help an organization choose an inventory control system 
D) all of the above 
A) participate in product design 
B) perform cost analysis 
C) help an organization choose an inventory control system 
D) all of the above

Question 3

Which of the following controls can minimize the threat of over- and underproduction?

Accepted Answer

A) The use of innovative performance metrics. 
B) The use of periodic physical counts of inventory and reconciliation of those counts to recorded quantities. 
C) The use of encryption. 
D) The use of production planning systems. 
A) The use of innovative performance metrics. 
B) The use of periodic physical counts of inventory and reconciliation of those counts to recorded quantities. 
C) The use of encryption. 
D) The use of production planning systems.

Question 4

________ identifies costs with the corporation's strategy for production of goods and services.

Accepted Answer

A) Activity-based costing 
B) Job-order costing 
C) Process costing 
D) Manufacturing costing 
A) Activity-based costing 
B) Job-order costing 
C) Process costing 
D) Manufacturing costing

Question 5

The AIS compiles and feeds information among the business cycles.What is the relationship between the revenue and production cycles regarding the exchange of information?

Accepted Answer

A) The revenue cycle provides sales forecast and customer order information to the production cycle, but the production cycle sends information back to revenue about finished goods production. 
B) The revenue cycle receives information from the production cycle about raw materials needs. 
C) The production cycle sends cost of goods manufactured information back to the revenue cycle. 
D) The production cycle does not exchange information with the revenue cycle. 
A) The revenue cycle provides sales forecast and customer order information to the production cycle, but the production cycle sends information back to revenue about finished goods production. 
B) The revenue cycle receives information from the production cycle about raw materials needs. 
C) The production cycle sends cost of goods manufactured information back to the revenue cycle. 
D) The production cycle does not exchange information with the revenue cycle.

Question 6

In activity-based costing,the expenses associated with planning and design of new products are ________ overhead.

Accepted Answer

A) batch-related 
B) product-related 
C) company wide 
D) expenditure-based 
A) batch-related 
B) product-related 
C) company wide 
D) expenditure-based

Question 7

This document appears to be a

Accepted Answer

A) Materials Requisition. 
B) Production Order. 
C) Bill of Materials. 
D) Move Ticket between production and warehouse functions. 
A) Materials Requisition. 
B) Production Order. 
C) Bill of Materials. 
D) Move Ticket between production and warehouse functions.

Question 8

The cost of a product liability claim can be classified as a(n)

Accepted Answer

A) prevention cost. 
B) inspection cost. 
C) internal failure cost. 
D) external failure cost. 
A) prevention cost. 
B) inspection cost. 
C) internal failure cost. 
D) external failure cost.

Question 9

Traditionally,what did manufacturing firms use to track the amount of time a worker spends on each specific task?

Accepted Answer

A) Job-time ticket. 
B) Sign-in sheet. 
C) Punch card. 
D) RFID tags. 
A) Job-time ticket. 
B) Sign-in sheet. 
C) Punch card. 
D) RFID tags.

Question 10

Using technology such as robots and computer-controlled machinery to shift from mass production to custom order manufacturing is referred to as

Accepted Answer

A) computer integrated manufacturing (CIM). 
B) lean manufacturing. 
C) Six Sigma. 
D) computer-aided design (CA
D) . 
A) computer integrated manufacturing (CIM). 
B) lean manufacturing. 
C) Six Sigma. 
D) computer-aided design (CA
D) .

Question 11

What issue did Airbus encounter when using CAD software to help design the A380 Superjumbo airliner?

Accepted Answer

A) The actual A380 was heavier than the CAD model. 
B) The actual A380 was not able to carry as much weight as the CAD model. 
C) Design teams used different versions of the same CAD software, resulting in key information loss. 
D) The CAD software was not advanced enough to help design the A380. 
A) The actual A380 was heavier than the CAD model. 
B) The actual A380 was not able to carry as much weight as the CAD model. 
C) Design teams used different versions of the same CAD software, resulting in key information loss. 
D) The CAD software was not advanced enough to help design the A380.

Question 12

ERP systems make it easier for an organization to implement an activity based costing approach.

Accepted Answer

A) True 
 B)False

Question 13

Discuss the role the accountant can play in the production cycle.

Accepted Answer

The accountant can play a role and provi

Question 14

What types of data are accumulated by cost accounting? What is the accountant's role in cost accounting?

Accepted Answer

There are four types of cost data accumu

Question 15

Which of the following is not proposed to be an advantage of activity-based costing?

Accepted Answer

A) Better product mix decisions. 
B) Better product pricing decisions. 
C) Less complex than traditional cost systems. 
D) Better decision. 
A) Better product mix decisions. 
B) Better product pricing decisions. 
C) Less complex than traditional cost systems. 
D) Better decision.

Question 16

The expenses associated with disposal of defective products are ________ costs.

Accepted Answer

A) prevention 
B) inspection 
C) internal failure 
D) external failure 
A) prevention 
B) inspection 
C) internal failure 
D) external failure

Question 17

________ costs are expenses associated with quality assurance activities.

Accepted Answer

A) Prevention 
B) Inspection 
C) Internal failure 
D) External failure 
A) Prevention 
B) Inspection 
C) Internal failure 
D) External failure

Question 18

Which objective listed below is not a cost accounting objective for the production cycle?

Accepted Answer

A) Provide information for planning, controlling, and evaluating the performance of production operations. 
B) Provide cost data about products used in pricing and product mix decisions. 
C) Collect and process the information used to calculate inventory and cost of goods sold amounts that appear in the financial statements. 
D) Provide tests of audit control functions as part of the AIS. 
A) Provide information for planning, controlling, and evaluating the performance of production operations. 
B) Provide cost data about products used in pricing and product mix decisions. 
C) Collect and process the information used to calculate inventory and cost of goods sold amounts that appear in the financial statements. 
D) Provide tests of audit control functions as part of the AIS.

Question 19

Why might an organization find it most beneficial to involve accountants in product design?

Accepted Answer

A) Because generally at least 65% of product costs are determined in the design stage and accountants can help minimize product costs 
B) Because accountants are generally able to improve the quality of new products 
C) Because involving accountants in product design boosts firm morale 
D) Because accountants are generally able to identify what consumers want in a new product 
A) Because generally at least 65% of product costs are determined in the design stage and accountants can help minimize product costs 
B) Because accountants are generally able to improve the quality of new products 
C) Because involving accountants in product design boosts firm morale 
D) Because accountants are generally able to identify what consumers want in a new product

Question 20

Direct labor must be tracked and accounted for as part of the production process.Traditionally,direct labor was tracked using ________ but an AIS enhancement is to use ________ to record and track direct labor costs.

Accepted Answer

A) job-time tickets; coded identification cards 
B) move tickets; coded identification cards 
C) employee earnings records; job-time tickets 
D) time cards; electronic time entry terminals 
A) job-time tickets; coded identification cards 
B) move tickets; coded identification cards 
C) employee earnings records; job-time tickets 
D) time cards; electronic time entry terminals

Exam 14: The Production Cycle

Sule Technologies installed a new production monitoring system that will reduce system breakdowns by 35%.The new system will increase throughput by

Identify the role below that accountants can play in the production cycle.

Which of the following controls can minimize the threat of over- and underproduction?

________ identifies costs with the corporation's strategy for production of goods and services.

The AIS compiles and feeds information among the business cycles.What is the relationship between the revenue and production cycles regarding the exchange of information?

In activity-based costing,the expenses associated with planning and design of new products are ________ overhead.

This document appears to be a

The cost of a product liability claim can be classified as a(n)

Traditionally,what did manufacturing firms use to track the amount of time a worker spends on each specific task?

Using technology such as robots and computer-controlled machinery to shift from mass production to custom order manufacturing is referred to as

What issue did Airbus encounter when using CAD software to help design the A380 Superjumbo airliner?

ERP systems make it easier for an organization to implement an activity based costing approach.

Discuss the role the accountant can play in the production cycle.

What types of data are accumulated by cost accounting? What is the accountant's role in cost accounting?

Which of the following is not proposed to be an advantage of activity-based costing?

The expenses associated with disposal of defective products are ________ costs.

________ costs are expenses associated with quality assurance activities.

Which objective listed below is not a cost accounting objective for the production cycle?

Why might an organization find it most beneficial to involve accountants in product design?

Direct labor must be tracked and accounted for as part of the production process.Traditionally,direct labor was tracked using ________ but an AIS enhancement is to use ________ to record and track direct labor costs.

Conceptual Foundations of Accounting Information Systems

Overview of Transaction Processing and Enterprise Resource Planning Systems

Systems Documentation Techniques

Relational Databases

Computer Fraud

Computer Fraud and Abuse Techniques

Control and Accounting Information Systems

Controls for Information Security

Confidentiality and Privacy Controls

Processing Integrity and Availability Controls

Auditing Computer-Based Information Systems

The Revenue Cycle: Sales to Cash Collections

The Expenditure Cycle: Purchasing to Cash Disbursements

The Human Resources Management and Payroll Cycle

General Ledger and Reporting System

Database Design Using the Rea Data Model

Implementing an Rea Model in a Relational Database

Special Topics in Rea Modeling

Introduction to Systems Development and Systems Analysis

Ais Development Strategies

Systems Design, implementation, and Operation

Filters

Direct labor must be tracked and accounted for as part of the production process.Traditionally,direct labor was tracked using but an AIS enhancement is to use to record and track direct labor costs.