Exam 1: Management Accounting and Corporate Governance

Ashley Bradshaw is the manager of one department in a large store.In this capacity,which of the following kinds of information would she be interested in?

A manufacturing business paid $3,000 to purchase inventory.As a result,assets would increase by $3,000.

Steuben Company produces dog houses.During the current year,Steuben Company incurred the following costs: Rent on manufacturing facility \2 50,000 Office manager's salar'y 150,000 Wages of factory machine operator's 110,000 Depreciation on manufacturing equipment 50,000 Insurance and taxes on selling and administrative offices 30,000 Direct materials purchased and used 170,000 Based on the above information,the amount of period costs shown on Steuben's income statement is:

Costs associated with holding inventory often include:

Select the term from the list provided that best matches each of the following descriptions.The first is done for you.

The biggest challenge in computing the total cost per unit of a product is determining the amount of overhead cost that should be assigned to each unit.

All of the following are downstream costs except:

The sequence of activities through which an organization provides products to its customers is called a supply chain.

As a Certified Management Accountant,Derek is bound by the standards of ethical conduct issued by the Institute of Management Accountants.According to the standards,Derek has a responsibility to:

Benchmarking involves the identification of the best practices used by world-class competitors.Discuss the following widely recognized best practices: activity-based management and just-in-time inventory.

Managerial accounting is designed to satisfy needs of external users including creditors,investors,and governmental agencies.

Which of the following costs would be classified as a direct cost for a company that produces motorcycles?

How do information needs of employees change moving up the organization chart?

Select the term from the list provided that best matches each of the following descriptions.The first is done for you.

Is McDonald's a manufacturing company or a service company? How do they record the cost of materials,labor,and overhead?

Upstream costs are classified as product costs and downstream costs are classified as period costs for financial reporting purposes.

The Sarbanes-Oxley Act allows,but does not require,a corporation to establish a whistleblower policy.

Steuben Company produces dog houses.During the current year,Steuben Company incurred the following costs: Rent on manufacturing facility \2 50,000 Office manager's salar'y 150,000 Wages of factory machine operator's 110,000 Depreciation on manufacturing equipment 50,000 Insurance and taxes on selling and administrative offices 30,000 Direct materials purchased and used 170,000 Based on the above information,which of the following would not be treated as a product cost:

Most internal users of accounting information need primarily global information that reflects the performance of the company as a whole.

During its first year of operations,Forrest Company paid $30,000 for direct materials and $50,000 in wages for production workers.Lease payments,utility costs,and depreciation on factory equipment totaled $15,000.General,selling,and administrative expenses were $20,000.The average cost to produce one unit was $2.50.How many units were produced during the period?