SAMPLE TEST QUESTIONS – EXAM 3
Some of the following materials have been adapted
, 2e, Braun, Tietz, &
Harrison Pearson Prentice-Hall, 2010 and its accompanying supplements.
THESE SAMPLE TEST QUESTIONS ARE NOT
THE SAME AS THE QUESTIONS THAT WILL APPEAR ON YOUR TEST. THEY DO NOT NECESSARILY REFLECT
EITHER THE COVERAGE OF TOPICS OR THE LEVEL OF DIFFICULTY OF THE EXAM ITSELF.
The ____________ budget is a major part of the master budget and focuses on the
income statement and its supporting
C. capital expenditures
Which of following budgets is part of the financial budgets?
A. Production budget
B. Budgeted balance sheet
C. Budgeted income statement
D. Sales budget
Stiller Company expects cash sales for July of $15,000, and a 20% monthly increase during August and September.
Credit sales of $10,000 in July should be followed by 25% increases during August and September. What are budgeted
cash sales and budgeted credit sales for September respectively?
A. $18,000 and $12,500
B. $21,600 and $15,376
C. $23,438 and $14,400
D. $18,750 and $12,000
Kayla’s Toys budgeted sales of $300,000 for the month of November and cost of goods sold equal of 70% of sales.
Beginning inventory for November was $50,000 and ending inventory for November is estimated at $55,000. How much
are the budgeted purchases for November?
The Teddy Bear Company manufactures stuffed bears.
The number of bears to be
produced in the
upcoming three months follows:
Number of teddy bears to be produced in July
Number of teddy bears to be produced in August
Number of teddy bears to be produced in September
Each bear requires 2 pounds of the plastic pellets used as stuffing.
The company has a policy that the ending inventory of
plastic pellets each month must be equal to 20% of the following month’s expected production needs.
How many pounds
of plastic pellets does The Teddy Bear Company need to purchase in August?