A cost is not relevant for decision making if it:
A. Does not differ for each option available to the decision maker.
B. Changes from period to period.
C. Is a future cost.
D. Is a mixed cost.
E. Is a fixed cost.
Variable costs will ge
A firm with a fiscal year ending December 31, purchased a 6month insurance policy for $1,200 on November 1. What amount of the insurance cost should be expensed for the year ended on December 31. Student response: Student Response A
Under the notion of controllability, it is most appropriate for top management to evaluate the profitability
of an investment center in terms of:
A. Profits in relation to the amount of capital invested in the unit.
B. Returns expressed a
Which of the following does not represent a main focus of cost management information?
A. Strategic management.
B. Performance measurement.
C. Planning and decision making.
D. Preparation of financial statements.
E. Internal audit and con
Calculate the operating leverage for each company. If sales increase, which company benefits more? How do you know?
If sales increase, company B will benefit more. Company B has a higher proportion of fixed costs in
Which of the following is NOT a temporary account? Student response: Student Response
b. interest expense
c. accumulated depreciation
d. cost of goods sold
Score: Question 2
1 / 1 (1 point)
Since indirect cost cannot be conveniently or economically traced directly to a cost pool or cost object,
the management accountant will:
A. Assign them by means of cost allocation.
B. Assign them where needed.
C. Assign them randomly to
17 KEY 1.
The Taguchi Quality Loss Function (QLF) demonstrates that as the quality
measure of a product declines, the loss due to quality defects: A. B. C. D.
E. Increases as a quadratic function. Increases as a linear function.
Increases as an exponentia
Marberry Company sold merchandise to a customer for $1,000 cash. The merchandise, which cost Marberry $750, was originally chaged to merchandise inventory. The correct accounting entry to record the cost of goods sold is to Student
Which of the following events is properly classified as an investing activity? Student response: Student Response Answer Choices a. b. c. d. purchase of equipment borrowing money from creditors selling goods to customers running the
The contribution income statement would require a firm to:
A. Separate costs into fixed and variable categories.
B. Separate revenue into different categories.
C. Round off amounts to the nearest dollar.
D. Ignore some estimated fixed exp
Base Case Analysis of Park Hill Acres Without Superstore
Sales Growth Rate
Cost of Good Sold
Other Employee Costs
Base Case Sales
Porter's Problems Co.
For Year Ended December 31, Year 2
Porter's Projects Co.
As of December 31, Year 1
Sales Numbers Trasposed for Copying
1. By convention, short-term financial control is accomplished by all the following except: A. B. C. D. E. Comparing actual to budgeted financial results. Calculating a series of cost and revenue variances at the end of the period. The use o
Case 10-2: Letsgo Travel Trailers
Data Input Area
Exhibit 1: Actual and Projected Sales in Number of Trailers
Monthly Sales Breakdowns for 1997 (actual) a
FLEXIBLE BUDGETS, DIRECT-COST VARIANCES,
AND MANAGEMENT CONTROL
The master budget is one type of flexible budget.
Terms to Learn:
The master budget is a static b
Financial control involves the use of financial measures to assess organizational and
Financial measures identify what is wrong with an organization, not simply provide
MANAGEMENT ACCOUNTING INFORMATION
FOR ACTIVITY AND PROCESS DECISIONS
Sunk costs are never relevant costs for decision making.
An example of a sunk cost is the amount of a guaranteed contract that has not yet bee
The term "retained earnings" is Student response: Student Response Answer Choices a. representative of the cash that the corporation has available to pay dividends as of the balance sheet date found among the assets on the balance s
University of Houston, Department of Psychology
PSYC3310, Fall Semester 2015
Dr. Lynda Villanueva
Syllabus & Calendar
Instructor: Dr. Lynda Villanueva
USE BLACKBOARD PLEASE!
Which of the following are permissible methods of presenting "Cash Flow from Operating Activities?" Indirect Method; Direct Method Student response: Student Response
a. Yes; Yes
b. Yes; No
c. No; Yes
d. No; No
Net income for FJ Company was $1,000,000. Accounts payable at the beginning of the year was $200,000. Accounts payable balance at the end of the year was $225,000. When preparing the cash flow from operating activities under the ind
A company's net income and operating cash flow are _ equal. Student response: Student Response Answer Choices a. b. c. d. never seldom approximately always
Score: 1 / 1 Question 2 (1 point)
Which of the following situations would be
The following information is available to prepare a statement of cash flows: Cash paid to owners for dividends $1,000 Cash received from customers from prior credit sales 8,600 Cash paid for longterm assets 3,300 Cash paid for incom
The Magellan Corporation recently acquired a specialized piece of machinery costing $350,000 and having a sixyear expected useful life. The company's bookkeeper properly recorded the expenditure as an asset. Which of the following i