Question 1

The following are all examples of product costs:

Accepted Answer

A)  Direct material, direct labor and indirect labor.
B)  Direct labor, VP of sales salary, and insurance on the factory.
C)  Depreciation on the factory equipment, depreciation on the office building, and depreciation on the factory building.
D)  Factory insurance, interest expense, and property taxes on the factory.
E)  Office supplies, sales commissions, and maintenance costs on office copier.F) A) and E)
G) All of the above

Question 2

The Malcolm Baldrige Award was established by:

Accepted Answer

A)  The United Nations.
B)  The U.S.Chamber of Commerce.
C)  The Malcolm Baldrige Foundation.
D)  The U.S.Congress.
E)  The SEC.F) A) and D)
G) None of the above

Question 3

Control is the process of setting goals and determining ways to achieve them.

Accepted Answer

A) True 
 B)False

Question 4

The following information is available for the year ended December 31:  The amount of raw materials used in production for the year is:

Accepted Answer

A)  $4,100
B)  $5,100
C)  $3,500
D)  $6,500
E)  $4,000F) B) and C)
G) None of the above

Question 5

Managerial accounting is different from financial accounting in that:

Accepted Answer

A)  Managerial accounting is more focused on the organization as a whole and financial accounting is more focused on subdivisions of the organization.
B)  Managerial accounting never includes nonmonetary information.
C)  Managerial accounting includes many projections and estimates whereas financial accounting has a minimum of predictions.
D)  Managerial accounting is used extensively by investors, whereas financial accounting is used only by creditors.
E)  Managerial accounting is mainly used to set stock prices.F) D) and E)
G) B) and D)

Question 6

The beginning and ending finished goods inventories of the Prize Ring manufacturing company were $75,000 and $73,000 respectively.If cost of goods sold equaled $66,000, what is the amount of cost of goods manufactured for this period?

Accepted Answer

A)  $2,000
B)  $64,000
C)  $68,000
D)  $82,000
E)  $214,000F) C) and D)
G) B) and D)

Question 7

The ________________________ aids continuous improvement by augmenting financial measures with information on the drivers or indicators of future financial performance along four dimensions: (1)financial, (2)customer, (3)internal business processes, and (4)learning and growth.

Accepted Answer

The answer of The ________________________ aids continuous improvement by augmenting...

Question 8

____________________ inventory consists of products in the process of being manufactured but not yet complete.

Accepted Answer

Goods in p...

Question 9

Use the following information for Acme, Inc., as of December 31 to answer the next questions:

-What is the correct amount of direct materials used?

Accepted Answer

A)  $141,000.
B)  $125,000.
C)  $137,000.
D)  $129,000.
E)  $138,000.F) A) and D)
G) All of the above

Question 10

_____________________ involves the use of one's job for personal gain through the deliberate misuse of employer's assets.

Accepted Answer

The answer of _____________________ involves the use of one's job...

Question 11

A manufacturing firm's cost of goods manufactured is equivalent to a merchandising firm's:

Accepted Answer

A)  Cost of goods sold.
B)  Cost of goods purchased.
C)  Cost of goods available.
D)  Beginning merchandise inventory.
E)  Ending merchandise inventory.F) A) and B)
G) A) and C)

Question 12

The following costs are included in a recent summary of data for a company: advertising expense, $85,000; depreciation expense - factory building, $133,000; direct labor, $250,000; direct material used, $300,000; factory utilities, $105,000; and sales salaries expense, $150,000.Determine the dollar amount of prime costs.

Accepted Answer

A)  $1,023,000
B)  $550,000
C)  $488,000
D)  $235,000
E)  $238,000F) A) and B)
G) C) and E)

Question 13

Use the following information to compute the cost of goods manufactured:

Accepted Answer

A)  $143,400
B)  $13,000
C)  $143,000
D)  $144,500
E)  $93,400F) B) and E)
G) A) and C)

Question 14

Financial accounting relies on accepted principles that are enforced through an extensive set of rules and guidelines; managerial accounting systems are flexible.

Accepted Answer

A) True 
 B)False

Question 15

Which of the following statements regarding fraud is true?

Accepted Answer

A)  Fraud is a deliberate act.
B)  Fraud can be deliberate or unintentional.
C)  A company with a strong code of ethics can eliminate fraud.
D)  A company with strong internal controls can eliminate fraud.
E)  The most common type of fraud is financial statement fraud.F) A) and B)
G) A) and C)

Question 16

A company reports raw materials used of $42,750 for a year, with beginning raw materials inventory of $4,000 and an ending raw materials inventory of $4,500.Compute days' sales in raw materials inventory based on this data.

Accepted Answer

A)  10.52 days.
B)  34.15 days
C)  10.06 days
D)  38.42 days
E)  9.35 daysF) None of the above
G) A) and C)

Question 17

The Institute of Management Accountants has developed a code of ethics that requires management accountants to behave in certain ways.Which of the following behaviors is not required?

Accepted Answer

A)  Competence.
B)  Integrity.
C)  Maintenance of confidentiality.
D)  Communication of information in credible manner.
E)  Timeliness.F) All of the above
G) B) and E)

Question 18

An out-of-pocket cost requires a future cash outlay and is relevant for decision making.

Accepted Answer

A) True 
 B)False

Exam 1: Managerial Accounting Concepts and Principles

The following information is available for the year ended December 31: The amount of raw materials used in production for the year is:

Correct Answer
verified

Which of the following statements regarding fraud is true?

Correct Answer
verified

An out-of-pocket cost requires a future cash outlay and is relevant for decision making.

Correct Answer
verified

Managerial accounting is different from financial accounting in that:

Correct Answer
verified

Control is the process of setting goals and determining ways to achieve them.

Correct Answer
verified

The following are all examples of product costs:

Correct Answer
verified

A manufacturing firm's cost of goods manufactured is equivalent to a merchandising firm's:

Correct Answer
verified

Financial accounting relies on accepted principles that are enforced through an extensive set of rules and guidelines; managerial accounting systems are flexible.

Correct Answer
verified

Use the following information to compute the cost of goods manufactured:

Correct Answer
verified

The Malcolm Baldrige Award was established by:

Correct Answer
verified

____________________ inventory consists of products in the process of being manufactured but not yet complete.

Correct Answer
verified
Goods in p...
View Answer

_____________________ involves the use of one's job for personal gain through the deliberate misuse of employer's assets.

Correct Answer
verified

The beginning and ending finished goods inventories of the Prize Ring manufacturing company were $75,000 and $73,000 respectively.If cost of goods sold equaled $66,000, what is the amount of cost of goods manufactured for this period?

Correct Answer
verified

Correct Answer
verified

A company reports raw materials used of $42,750 for a year, with beginning raw materials inventory of $4,000 and an ending raw materials inventory of $4,500.Compute days' sales in raw materials inventory based on this data.

Correct Answer
verified

The Institute of Management Accountants has developed a code of ethics that requires management accountants to behave in certain ways.Which of the following behaviors is not required?

Correct Answer
verified

Use the following information for Acme, Inc., as of December 31 to answer the next questions: -What is the correct amount of direct materials used?

Correct Answer
verified

The ________________________ aids continuous improvement by augmenting financial measures with information on the drivers or indicators of future financial performance along four dimensions: (1)financial, (2)customer, (3)internal business processes, and (4)learning and growth.

Correct Answer
verified

Exam 1: Managerial Accounting Concepts and Principles

The following information is available for the year ended December 31: The amount of raw materials used in production for the year is:

Correct AnswerverifiedShow Answer

Which of the following statements regarding fraud is true?

Correct AnswerverifiedShow Answer

An out-of-pocket cost requires a future cash outlay and is relevant for decision making.

Correct AnswerverifiedShow Answer

Managerial accounting is different from financial accounting in that:

Correct AnswerverifiedShow Answer

Control is the process of setting goals and determining ways to achieve them.

Correct AnswerverifiedShow Answer

The following are all examples of product costs:

Correct AnswerverifiedShow Answer

A manufacturing firm's cost of goods manufactured is equivalent to a merchandising firm's:

Correct AnswerverifiedShow Answer

Financial accounting relies on accepted principles that are enforced through an extensive set of rules and guidelines; managerial accounting systems are flexible.

Correct AnswerverifiedShow Answer

Use the following information to compute the cost of goods manufactured:

Correct AnswerverifiedShow Answer

The Malcolm Baldrige Award was established by:

Correct AnswerverifiedShow Answer

____________________ inventory consists of products in the process of being manufactured but not yet complete.

Correct AnswerverifiedGoods in p...View AnswerShow Answer

_____________________ involves the use of one's job for personal gain through the deliberate misuse of employer's assets.

Correct AnswerverifiedShow Answer

The beginning and ending finished goods inventories of the Prize Ring manufacturing company were $75,000 and $73,000 respectively.If cost of goods sold equaled $66,000, what is the amount of cost of goods manufactured for this period?

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

A company reports raw materials used of $42,750 for a year, with beginning raw materials inventory of $4,000 and an ending raw materials inventory of $4,500.Compute days' sales in raw materials inventory based on this data.

Correct AnswerverifiedShow Answer

The Institute of Management Accountants has developed a code of ethics that requires management accountants to behave in certain ways.Which of the following behaviors is not required?

Correct AnswerverifiedShow Answer

Use the following information for Acme, Inc., as of December 31 to answer the next questions: -What is the correct amount of direct materials used?

Correct AnswerverifiedShow Answer

The ________________________ aids continuous improvement by augmenting financial measures with information on the drivers or indicators of future financial performance along four dimensions: (1)financial, (2)customer, (3)internal business processes, and (4)learning and growth.

Correct AnswerverifiedShow Answer

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Goods in p...
View Answer

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