Question 1

Period costs include

Accepted Answer

A)   current assets on the balance sheet
B)   current liabilities on the balance sheet
C)   operating costs that are shown on the income statement when products are sold
D)   operating costs that are shown on the income statement in the period in which they are incurred

Question 2

Prime costs consist of direct materials,indirect materials,and direct labor.

Accepted Answer

A) True 
 B)False

Question 3

Issues such as population growth and climate change all have a direct impact on a company's potential for success.

Accepted Answer

A) True 
 B)False

Question 4

A diagram of the operating structure of an organization is called an organization chart.

Accepted Answer

A) True 
 B)False

Question 5

On the balance sheet for a manufacturing business,the cost of direct materials,direct labor,and factory overhead are categorized as either materials inventory,work in process inventory,or finished goods inventory.

Accepted Answer

A) True 
 B)False

Question 6

Direct labor and direct materials are

Accepted Answer

A)   product costs and expensed when the goods are sold
B)   product costs and expensed when incurred
C)   period costs and expensed when incurred
D)   period costs and expensed when the goods are sold

Question 7

Work in process inventory on December 31 is $42,000.Work in process inventory decreased by 40% during the year.Total manufacturing costs incurred amount to $260,000.What is the cost of goods manufactured?

Accepted Answer

A)   $232,000
B)   $302,000
C)   $288,000
D)   $190,000

Question 8

Managers used managerial information for all of the following except

Accepted Answer

A)   to evaluate the company's stock performance
B)   to analyze the performance of a company's operations
C)   to support long-term planning decisions
D)   to determine the cost of manufacturing a product

Question 9

Which of the following is not true in regards to direct materials for a bakery?

Accepted Answer

A)   Flour and sugar would probably be direct materials.
B)   Eggs would probably be a direct material.
C)   Oil to lubricate factory machines would not be a direct material.
D)   Paper cupcake liners,that become part of the product,must be accounted for as direct materials.

Question 10

Differentiate between a line department and a staff department.​

Accepted Answer

A line department is directly involved i...

Question 11

A product cost is

Accepted Answer

A)   expensed in the period in which it is manufactured
B)   shown with current liabilities on the balance sheet
C)   shown with operating expenses on the income statement
D)   expensed in the period the product is sold

Question 12

Prime costs consist of factory overhead and direct labor.

Accepted Answer

A) True 
 B)False

Question 13

If the cost of a direct material is a small portion of total production cost,it may be classified as part of

Accepted Answer

A)   direct labor cost
B)   selling and administrative costs
C)   miscellaneous costs
D)   factory overhead cost

Question 14

An example of a sustainable business practice in energy is the use of wind turbines.

Accepted Answer

A) True 
 B)False

Question 15

Materials must have which two qualities in order to be classified as direct materials?

Accepted Answer

A)   They must be classified as both prime costs and conversion costs.
B)   They must be introduced into the process in both work-in-process inventories and finished goods inventories.
C)   They must be an integral part of the finished product,but can be an insignificant portion of the total product cost.
D)   They must be an integral part of the finished product and be a significant portion of the total product cost.

Question 16

The phases of the management process are listed below.Match each phase to the appropriate description.
​
_____ Planning
_____ Directing
_____ Controlling
_____ Improving
_____ Decision making
​
a)Used by managers for continuous improvement
b)Managers must decide how to respond to unfavorable performances
c)Used by management to develop the organization's objectives and goals
d)Monitoring the operating results of implemented plans and comparing actual results to expected results
e)Process by which managers run day-to-day operations

Accepted Answer

The answer of The phases of the management process are...

Question 17

Which of the following are basic phases of the management process?

Accepted Answer

A)   supervising and directing
B)   decision making and supervising
C)   organizing and directing
D)   planning and controlling

Question 18

What term is used to describe the process of developing the organization's objectives and translating those into courses of action?

Accepted Answer

A)   supervising
B)   planning
C)   improving
D)   decision making

Question 19

Factory overhead is an example of a product cost.

Accepted Answer

A) True 
 B)False

Question 20

Which of the following is most associated with financial accounting?

Accepted Answer

A)   can have both objective and subjective information
B)   can be prepared periodically,or as needed
C)   prepared in accordance with GAAP
D)   can be prepared for the entity or segment

Exam 15: Introduction to Managerial Accounting

Which of the following is not true in regards to direct materials for a bakery?

Correct Answer
verified

Issues such as population growth and climate change all have a direct impact on a company's potential for success.

Correct Answer
verified

Factory overhead is an example of a product cost.

Correct Answer
verified

A product cost is

Correct Answer
verified

Materials must have which two qualities in order to be classified as direct materials?

Correct Answer
verified

A diagram of the operating structure of an organization is called an organization chart.

Correct Answer
verified

Correct Answer
verified

What term is used to describe the process of developing the organization's objectives and translating those into courses of action?

Correct Answer
verified

Period costs include

Correct Answer
verified

Which of the following is most associated with financial accounting?

Correct Answer
verified

If the cost of a direct material is a small portion of total production cost,it may be classified as part of

Correct Answer
verified

Prime costs consist of direct materials,indirect materials,and direct labor.

Correct Answer
verified

On the balance sheet for a manufacturing business,the cost of direct materials,direct labor,and factory overhead are categorized as either materials inventory,work in process inventory,or finished goods inventory.

Correct Answer
verified

An example of a sustainable business practice in energy is the use of wind turbines.

Correct Answer
verified

Which of the following are basic phases of the management process?

Correct Answer
verified

Direct labor and direct materials are

Correct Answer
verified

Work in process inventory on December 31 is $42,000.Work in process inventory decreased by 40% during the year.Total manufacturing costs incurred amount to $260,000.What is the cost of goods manufactured?

Correct Answer
verified

Differentiate between a line department and a staff department.

Correct Answer
verified
A line department is directly involved i...
View Answer

Managers used managerial information for all of the following except

Correct Answer
verified

Prime costs consist of factory overhead and direct labor.

Correct Answer
verified

Exam 15: Introduction to Managerial Accounting

Which of the following is not true in regards to direct materials for a bakery?

Correct AnswerverifiedShow Answer

Issues such as population growth and climate change all have a direct impact on a company's potential for success.

Correct AnswerverifiedShow Answer

Factory overhead is an example of a product cost.

Correct AnswerverifiedShow Answer

A product cost is

Correct AnswerverifiedShow Answer

Materials must have which two qualities in order to be classified as direct materials?

Correct AnswerverifiedShow Answer

A diagram of the operating structure of an organization is called an organization chart.

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

What term is used to describe the process of developing the organization's objectives and translating those into courses of action?

Correct AnswerverifiedShow Answer

Period costs include

Correct AnswerverifiedShow Answer

Which of the following is most associated with financial accounting?

Correct AnswerverifiedShow Answer

If the cost of a direct material is a small portion of total production cost,it may be classified as part of

Correct AnswerverifiedShow Answer

Prime costs consist of direct materials,indirect materials,and direct labor.

Correct AnswerverifiedShow Answer

On the balance sheet for a manufacturing business,the cost of direct materials,direct labor,and factory overhead are categorized as either materials inventory,work in process inventory,or finished goods inventory.

Correct AnswerverifiedShow Answer

An example of a sustainable business practice in energy is the use of wind turbines.

Correct AnswerverifiedShow Answer

Which of the following are basic phases of the management process?

Correct AnswerverifiedShow Answer

Direct labor and direct materials are

Correct AnswerverifiedShow Answer

Work in process inventory on December 31 is $42,000.Work in process inventory decreased by 40% during the year.Total manufacturing costs incurred amount to $260,000.What is the cost of goods manufactured?

Correct AnswerverifiedShow Answer

Differentiate between a line department and a staff department.​

Correct AnswerverifiedA line department is directly involved i...View AnswerShow Answer

Managers used managerial information for all of the following except

Correct AnswerverifiedShow Answer

Prime costs consist of factory overhead and direct labor.

Correct AnswerverifiedShow Answer

Correct Answer
verified

Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
verified

Correct Answer
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Correct Answer
verified

Correct Answer
verified

Differentiate between a line department and a staff department.

Correct Answer
verified
A line department is directly involved i...
View Answer

Correct Answer
verified

Correct Answer
verified