Blackboard Academic Suite
3/18/10 12:18 PM
Score: 5 out of 10 points (50%)
67.
award:
0 out of
1 point
A company has two products: A1 and B2. It uses activity-based costing and has prepared the following
analysis showing budgeted cost and activity for eac
Blackboard Academic Suite
3/18/10 12:18 PM
Score: 5 out of 10 points (50%)
68.
award:
1 out of
1 point
Assume that a pet food manufacturer is considering adding two types of pet food to their existing product
line. Research had determined that there is go
1.
TRADITIONAL, VOLUME-BASED PRODUCT-COSTING SYSTEMS The manufacturing and service environments have changed as a result of ever-increasing international competition, technological innovation, and advances in computerized systems. Many companies sti
McGraw-Hill's Connect
3/16/10 10:00 PM
Score: 10 out of 10 points (100%)
53.
award:
1 out of
1 point
A company's product sells at $12 per unit and has a $5 per unit variable cost. The company's total fixed costs are
$98,000.
The contribution margin per un
McGraw-Hill's Connect
3/14/10 8:19 PM
Score: 7 out of 10 points (70%)
52.
award:
1 out of
1 point
Aztec Industries produces bread which goes through two operations, mixing and baking, before it is
ready to be packaged. Next year's expected costs and activ
Blackboard Academic Suite
3/18/10 12:18 PM
Score: 5 out of 10 points (50%)
59.
award:
1 out of
1 point
Heritage Industries produces miniature models of farm equipment. These collectibles are in great
demand. It takes two operations, molding and finishing,
Blackboard Academic Suite
2/17/10 12:10 AM
Score: 6 out of 10 points (60%)
39.
award:
0 out of
1 point
During last period, a company's direct labor cost was double the cost of its direct material used. In
addition, factory overhead was $5,000 underapplied
Blackboard Academic Suite
3/18/10 12:18 PM
Score: 5 out of 10 points (50%)
43.
award:
0 out of
1 point
Lake Prairie Company uses a plantwide overhead rate with machine hours as the allocation base. Next
year, 500,000 units are expected to be produced taki
Blackboard Academic Suite
3/18/10 12:17 PM
Score: 5 out of 10 points (50%)
40.
award:
1 out of
1 point
The following data relates to Lead Company's estimated amounts for next year.
Estimated:
Manufacturing overhead costs
Direct labor hours
Machine hours
D
Blackboard Academic Suite
4/25/10 1:19 PM
Score: 6 out of 10 points (60%)
50.
award:
0 out of
1 point
Swola Company reports the following annual cost data for its single product.
Normal production level
Direct materials
Direct labor
Variable overhead
Fixe
Blackboard Academic Suite
4/25/10 1:18 PM
Score: 6 out of 10 points (60%)
35.
award:
1 out of
1 point
Magenta Inc. reports the following information for the current year which is its first year of operations.
Units produced this year
Units sold this year
Blackboard Academic Suite
3/18/10 12:19 PM
Score: 5 out of 10 points (50%)
69.
award:
0 out of
1 point
Assume that a pet food manufacturer is considering adding two types of pet food to their existing product
line. Research had determined that there is go
Blackboard Academic Suite
3/18/10 12:19 PM
Score: 5 out of 10 points (50%)
70.
award:
0 out of
1 point
Assume that the Oregon Ice Cream Company is considering the costs of two of their product lines ice
cream sandwiches and dessert bars.
The company ident
McGraw-Hill's Connect
3/14/10 8:16 PM
Score: 7 out of 10 points (70%)
13.
award:
1 out of
1 point
Cool Cut Clothes Company manufactures two products CC1 and CC2. Current direct material and direct
labor costs are detailed below. Next year the company wish
McGraw-Hill's Connect
3/14/10 8:16 PM
Score: 7 out of 10 points (70%)
22.
award:
1 out of
1 point
The cost object(s) of the departmental overhead rate method is(are):
The production activities of the company.
The unit of product.
The unit of product in th
McGraw-Hill's Connect
3/14/10 8:16 PM
Score: 7 out of 10 points (70%)
23.
award:
1 out of
1 point
Which of the following statements is(are) true with regard to the departmental overhead rate method?
B) It is logical to use this method when overhead resour
McGraw-Hill's Connect
3/14/10 8:17 PM
Score: 7 out of 10 points (70%)
29.
award:
1 out of
1 point
Which of the following are advantages of using the plantwide overhead rate method?
The necessary information is readily available.
It is more accurate than t
McGraw-Hill's Connect
3/14/10 8:17 PM
Score: 7 out of 10 points (70%)
40.
award:
1 out of
1 point
The following data relates to Lead Company's estimated amounts for next year.
Estimated:
Manufacturing overhead costs
Direct labor hours
Machine hours
Depart
Blackboard Academic Suite
3/18/10 12:20 PM
Score: 9 out of 10 points (90%)
4.
award:
1 out of
1 point
A product sells for $310 per unit, and its variable costs per unit are $137. The fixed costs are $480,000. If
the firm wants to earn $43,000 pretax incom
McGraw-Hill's Connect
3/14/10 8:18 PM
Score: 7 out of 10 points (70%)
71.
award:
0 out of
1 point
Assume that the Oregon Ice Cream Company is considering the costs of two of their product lines ice
cream sandwiches and dessert bars.
The company identified
McGraw-Hill's Connect
3/14/10 8:18 PM
Score: 7 out of 10 points (70%)
69.
award:
0 out of
1 point
Assume that a pet food manufacturer is considering adding two types of pet food to their existing product
line. Research had determined that there is good de
Blackboard Academic Suite
3/18/10 12:17 PM
Score: 5 out of 10 points (50%)
26.
award:
0 out of
1 point
A cost pool:
Is a collection of costs that are related to the same department.
Is a collection of products that have similar costs.
Is a collection of c
Blackboard Academic Suite
3/18/10 12:17 PM
Score: 5 out of 10 points (50%)
16.
award:
1 out of
1 point
A method of assigning overhead costs to a product using a single overhead rate is:
Cost pool overhead rate method.
Activity-based costing.
Plantwide ove
1.
award:
0 out of
1 point
Hou Company applies factory overhead to its production departments on the basis of 85% of
direct labor costs. In the Assembly Department, Hou had $100,000 of direct labor cost, and in
the Finishing Department, Hou had $35,000 of
Blackboard Academic Suite
3/18/10 12:16 PM
Score: 6 out of 10 points (60%)
52.
award:
0 out of
1 point
Que Corporation uses a process cost accounting system. The company manufactured certain goods at a
cost of $800 and sold them on credit to Are Corporati
McGraw-Hill's Connect
3/14/10 8:11 PM
Score: 9 out of 10 points (90%)
10.
award:
1 out of
1 point
A measure of the productivity of a process with respect to its use of direct materials, direct labor, or
overhead, and an expression of the activity of a pro
McGraw-Hill's Connect
3/14/10 8:12 PM
Score: 9 out of 10 points (90%)
15.
award:
1 out of
1 point
A process cost summary is a managerial accounting report that describes:
All of these.
The equivalent units of production by the department.
How the costs we
McGraw-Hill's Connect
3/14/10 8:12 PM
Score: 9 out of 10 points (90%)
16.
award:
1 out of
1 point
A system of accounting in which the costs of each process are accumulated separately and then
assigned to the units of product that passed through the proces
McGraw-Hill's Connect
3/14/10 8:13 PM
Score: 9 out of 10 points (90%)
24.
award:
1 out of
1 point
Which of the following journal entries correctly records the current month's activity where $125,000 of
raw material was purchased for cash, and $75,000 of d
McGraw-Hill's Connect
3/14/10 8:13 PM
Score: 9 out of 10 points (90%)
25.
award:
1 out of
1 point
Which of the following journal entries correctly records the current month's activity where $250,000 of
raw material was purchased for cash, and $150,000 of
Exam I Study Guide
Chapter 2
Key Terms:
activity - refers to a measure of the organizations output of products or services.
average cost per unit - total cost for quantity manufactured divided by the number of
units manufactured
controllable cost - whe
Exam II: Ch. 6, 7, 9, 10, 12
Chapter 6
account classification method - also called account analysis, involves a careful amount
of examination of the organizations ledger accounts. After classifying each cost as a
variable, fixed or semivariable cost, the
Chapter 11
Key Terms
activity-based flexible budget fixed-overhead budget variance fixed-overhead volume variance flexible budget - tool used to control overhead costs is called a flexible budget. A
flexible budget is not based on only one level of activ
Accounting 202 Notes
Chapter 2:
Management - formulating strategy, planning, control decision making, and directing
operational activities
Costs
At the most basic level, its a sacrifice made, measured by the resources given up,
to achieve a particular
