Managerial Accounting Acct 2301 Fall 2006 Exam 1 Name: 1. Which of the following is an example of a factory overhead cost? a. Repair and maintenance cost on the administrative building b. Factory heating and lighting cost c. Insurance premiums on sal
Dress for Success produces a man's suit that sells for $200. Although the company's production capacity is 3,000 suits per year, only 2,500 suits are currently being produced and sold. The production costs for 2,500 suits are as follows: Unit-level m
Saylind Molding paid $280,000 in rent for the year. The company's three departments are headrests, armrests, and air ducts. The departments occupy 5,000, 6,300, and 2,700 square feet, respectively. How much of the rent cost should be allocated to
Chapter 2 Problems 1. When volume increases: a. fixed cost in total increases and fixed cost per unit decreases b. fixed cost in total remains constant and fixed cost per unit decreases c. fixed cost in total and fixed cost per unit remain constant d
Chapter 12 Problems 1. ABC Manufacturing Co. is currently working on two jobs. The job order cost sheets for Job 101 and Job 102 provide the following information: Direct Materials Direct Labor Job 101 $12,000 $24,000 Job 102 $15,000 $45,000
Chapter 3 Problems
Use the following information for Boxware Corporation to answer the next four questions: Sales price per unit Variable cost per unit Average production Total fixed costs 1. $190 $ 80 1,500 units per month $55,000 per month
Acct 2301 Managerial Accounting
Instructor: Noel Sloan
Graduated from Baylor University and Baylor School of Law JD, CPA Practiced for 10 years at both Accounting Firms and Law Firms Married 3 Kids 1 Dog
Everyone Can Do Well In Thi
Acct 2301: Managerial Accounting
Instructor: Steve Buchheit
Three kids Ohio native Married to a Texan Experiment w/ Hair styles Accounting Professor Welder
Welding Equipment Companies
Lincoln Electric Miller Hobart
Relevant Information for Special Decisions
Two primary characteristics distinguish relevant from useless information:
1. Relevant information differs among the alternatives under consideration.
2. Relevant information
Chapters 11 & 12
We are in the homestretch.
Chapters 11 & 12
Intent of these chapters: 1. Provide a ,big picture look at many of the concepts weve seen throughout the semester. 2. In this case, big picture means ,looking at company-wide financial r
What Does Aspirin Cost?
Hospitals justify the high price of aspirin based on high costs. For example, hospitals routinely charge $4.50 per aspirin based on a reported cost of $3.50.
Source: "The Legacy of $7 A
Chapter 1: The importance of cost information. Chapters 2 & 3: Projecting (estimating) cost and revenue information.
Chapter 4: Actual Cost Determination (note that fixed costs will once again cause the most challenging issues).
Current Grades & the Drop Date
Oct. 30th is the final day to withdraw from a course. To this point, roughly of the course grade is determined. A few example grade situations will illustrate withdrawal considerations.
Your lowest c
Cost Volume Profit Analysis
There are 3 methods to analyze:
(1.) Contribution Margin per Unit (2.) Contribution Ratio (3.) Equation Method NOTE: Each method yields the same results.
Acct 2301 (Spring 2006) - Exam 1
1. Sliter Company sells CD players for $50. Variable costs are 40% of sales and total fixed costs are $40,000. What is the firm's operating leverage if 2,000 units are sold? A. 3.0 B. 2.0 C. 1.5 D. 0 E. No
Job-Order, Process, and Hybrid Cost Systems
Job-order Costs Systems Accumulate costs by individual products This is used when all the products made are not the same.
This is also used when mgmt needs to know the cost of ind
Cost Behavior, Operating Leverage, & Profitability Analysis
Manner in which a cost changes as a related activity changes. Classifications of Cost Behavior
Variable Costs Fixed Costs Mixed Costs
Let's say you and
CASH A B C D E F G H totals INVEN. EQUIP = = = = = = = = = = Cont. Cap Ret. Earn
Rev. Exp = NI
The point of entries D & F is to illustrate "Product Costs"
L + Equity
(no liabilites in this problem)
Chapter 1 Class Work
1. What are the 3 forms of ownership for a business?
a. pro r l l
c. C9 (Vela/1'75
2. The accounting equation is: Assets: [m'BIL-(ZZEE +
3. Should a balance sheet be dated for . particular day -r a time period?
Chapter 2 Class Work
2-1. Which of the following is a current asset?
c. Store xtures
e. Accounts payable
2-2. To determine the sources of a com ' assets, on which nancial statement will you look?
External and Internal Events
event: interaction between an entity
and its environment
Internal event: occurs entirely within an entity
Transaction: any event that is recognized in a set
Accounting as a Form of
What is Business?
Consists of the
activities necessary to provide
members of society with goods and services.
Exhibit 1.1Types of Businesses
Exhibit 1.2Forms of Organization
All assets are initially recorded at the cost to
An artificial segment on the calendar used as the
basis for preparing financial statements. (often
a year or a quarter)
The assumption that a single, identi
Flash Cards 3
Forms of Organization:
Form of organization with a single owner.
A business owned by two or more individuals; the form of
organization often used by accounting firms and law firms.
A form of e
For accounting information, the quality that
allows a user to compare two or more
accounting periods for a single company.
The capacity of information to make a difference
in a decision.
For accounting information, the quality
Chapter 1 part 2
Chapter 1 pp. 14-21
1. Write out the accounting equation.
assets = liabilities + owners equity
2. What 3 types of accounts are reported on the Balance Sheet?
Assets, liabilities, and owners equity
3. What 2 types of accounts are