Question 1

Typically the only allocated cost in the value stream is a charge per square foot for the value stream production facility.

Accepted Answer

A) True 
 B)False  True

Question 2

A company's value stream includes all steps in a process, both essential and non-essential, for which the customer is willing to pay.

Accepted Answer

A) True 
 B)False  False

Question 3

The cost of poor quality includes all of the following except

Accepted Answer

A)  cost of rework 
B)  warranty claims 
C)  scheduling delays 
D)  proceeds from the sale of scrap 
A)  cost of rework 
B)  warranty claims 
C)  scheduling delays 
D)  proceeds from the sale of scrap D

Question 4

What is one benefit of the flexible production system?

Accepted Answer

A flexible production system s

Question 5

Which statement is not correct?

Accepted Answer

A)  cost objects are the reasons for performing activities 
B)  cost object describes the work performed in a firm 
C)  activities cause costs 
D)  cost objects create a demand for activities 
A)  cost objects are the reasons for performing activities 
B)  cost object describes the work performed in a firm 
C)  activities cause costs 
D)  cost objects create a demand for activities

Question 6

Which of the following is not an assumption of the Economic Order Quantity model?

Accepted Answer

A)  demand for the product is known with certainty 
B)  total cost per year of placing orders is fixed 
C)  lead time is known and is constant 
D)  there are no quantity discounts 
A)  demand for the product is known with certainty 
B)  total cost per year of placing orders is fixed 
C)  lead time is known and is constant 
D)  there are no quantity discounts

Question 7

Which of the following is not an example of waste?

Accepted Answer

A)  Overproduction of products. 
B)  Safety hazards that cause injury. 
C)  Stand-alone processes that are not linked to upstream or downstream processes. 
D)  All of the above are examples of waste. 
A)  Overproduction of products. 
B)  Safety hazards that cause injury. 
C)  Stand-alone processes that are not linked to upstream or downstream processes. 
D)  All of the above are examples of waste.

Question 8

The complexities of ABC have caused many firms to abandon this method in favor of a simpler accounting model called value stream accounting.

Accepted Answer

A) True 
 B)False

Question 9

Computer integrated manufacturing includes all of the following technologies except

Accepted Answer

A)  robotics 
B)  materials requirements planning 
C)  automated storage and retrieval systems 
D)  computer aided design 
A)  robotics 
B)  materials requirements planning 
C)  automated storage and retrieval systems 
D)  computer aided design

Question 10

Which type of manufacturing creates a homogeneous product through a continuous series of standard procedures?

Accepted Answer

continuous

Question 11

What are the key segregation of duties issues in the conversion cycle?

Accepted Answer

Production planning and control departme

Question 12

ABC assigns cost to cost objects based on their use of activities.

Accepted Answer

A) True 
 B)False

Question 13

Cost accounting initiates a WIP account upon receiving the first move ticket of a batch.

Accepted Answer

A) True 
 B)False

Question 14

If the daily demand is 40 units and the lead time is 12 days, the reorder point is

Accepted Answer

A)  40 units 
B)  48 units 
C)  480 units 
D)  none of the above 
A)  40 units 
B)  48 units 
C)  480 units 
D)  none of the above

Question 15

In Activity Based Costing, what is the term used to refer to the work performed by a firm?

Accepted Answer

The answer of In Activity Based Costing, what is the...

Question 16

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 17

Deficiencies of the traditional cost accounting information system include all of the following except

Accepted Answer

A)  an emphasis on financial performance 
B)  inaccurate cost allocations 
C)  an emphasis on standard costs 
D)  immediate feedback about deviations from the norm 
A)  an emphasis on financial performance 
B)  inaccurate cost allocations 
C)  an emphasis on standard costs 
D)  immediate feedback about deviations from the norm

Question 18

Which process creates a homogeneous product through a continuous series of standard procedures?

Accepted Answer

A)  batch process 
B)  make-to-order process 
C)  continuous process 
D)  none of the above 
A)  batch process 
B)  make-to-order process 
C)  continuous process 
D)  none of the above

Question 19

How does automation assist with the lean manufacturing philosophy?

Accepted Answer

Automation is at the heart of

Question 20

Which situation violates the segregation of functions control procedure?

Accepted Answer

A)  production planning and control is located apart from the work centers 
B)  inventory control maintains custody of inventory items 
C)  cost accounting has custody of and makes entries on cost records 
D)  work centers record direct labor on job tickets 
A)  production planning and control is located apart from the work centers 
B)  inventory control maintains custody of inventory items 
C)  cost accounting has custody of and makes entries on cost records 
D)  work centers record direct labor on job tickets

Typically the only allocated cost in the value stream is a charge per square foot for the value stream production facility.

A company's value stream includes all steps in a process, both essential and non-essential, for which the customer is willing to pay.

The cost of poor quality includes all of the following except

What is one benefit of the flexible production system?

Which statement is not correct?

Which of the following is not an assumption of the Economic Order Quantity model?

Which of the following is not an example of waste?

The complexities of ABC have caused many firms to abandon this method in favor of a simpler accounting model called value stream accounting.

Computer integrated manufacturing includes all of the following technologies except

Which type of manufacturing creates a homogeneous product through a continuous series of standard procedures?

What are the key segregation of duties issues in the conversion cycle?

ABC assigns cost to cost objects based on their use of activities.

Cost accounting initiates a WIP account upon receiving the first move ticket of a batch.

If the daily demand is 40 units and the lead time is 12 days, the reorder point is

In Activity Based Costing, what is the term used to refer to the work performed by a firm?

Which statement is not correct?

Deficiencies of the traditional cost accounting information system include all of the following except

Which process creates a homogeneous product through a continuous series of standard procedures?

How does automation assist with the lean manufacturing philosophy?

Which situation violates the segregation of functions control procedure?

The Information System: an Accountants 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

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 Part I: Sarbanes-Oxley and It Governance

IT Controls Part II: Security and Access

IT Controls Part III: Systems Development, Program Changes, and Application Controls

Filters

Exam 7: The Conversion Cycle

Typically the only allocated cost in the value stream is a charge per square foot for the value stream production facility.

A company's value stream includes all steps in a process, both essential and non-essential, for which the customer is willing to pay.

The cost of poor quality includes all of the following except

What is one benefit of the flexible production system?

Which statement is not correct?

Which of the following is not an assumption of the Economic Order Quantity model?

Which of the following is not an example of waste?

The complexities of ABC have caused many firms to abandon this method in favor of a simpler accounting model called value stream accounting.

Computer integrated manufacturing includes all of the following technologies except

Which type of manufacturing creates a homogeneous product through a continuous series of standard procedures?

What are the key segregation of duties issues in the conversion cycle?

ABC assigns cost to cost objects based on their use of activities.

Cost accounting initiates a WIP account upon receiving the first move ticket of a batch.

If the daily demand is 40 units and the lead time is 12 days, the reorder point is

In Activity Based Costing, what is the term used to refer to the work performed by a firm?

Which statement is not correct?

Deficiencies of the traditional cost accounting information system include all of the following except

Which process creates a homogeneous product through a continuous series of standard procedures?

How does automation assist with the lean manufacturing philosophy?

Which situation violates the segregation of functions control procedure?

The Information System: an Accountants 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

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 Part I: Sarbanes-Oxley and It Governance

IT Controls Part II: Security and Access

IT Controls Part III: Systems Development, Program Changes, and Application Controls

Filters