...Name _______ _________ (Please include your name in the file.) I. Classifications (30 points total) Part A: Classifications (2 points each – 22 points total) Determine the classification for each cost item based on 2 different schemes. First, determine cost behavior: whether the cost is variable or fixed (relative to the number of units produced); check the appropriate space. Then, determine whether the cost is a product or a period cost; check the appropriate space. Be sure your final answers are lined up under the right column before submitting your quiz. Behavior Functional Area Cost Item Variable Fixed Product Period Paper towels used in the office building restrooms _____ _ √ _ _____ _ √ _ Cost of natural gas to run the manufacturing equipment _ √ _ _____ _ √ _ _____ Salaries of the sales managers _____ _ √ _ _____ _ √ _ Insurance paid on the headquarters building _____ _ √ _ _____ _ √ _ Hourly wages of the assembly workers _ √ _ _____ _ √ _ _____ Cost of fabric to make polo shirts _ √ _ _____ _ √ _ _____ Commissions paid to salespeople at $4 per unit _ √ _ _____ _____ _ √ _ Production supervisors’ salaries _____ _ √ _ _ √ _ _____ Cost of newspaper advertising _____ _ √ _ ...
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...| Financial data for Beaker Company for last year appear below: | |[pic] [pic] | | | | | |[pic] | | | |The company paid dividends of $2,100 last year. The "Investment in Cedar Company" on the statement of financial position represents an | |investment in the stock of another company. | | | |Required: | | ...
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...Ch. 9: Standard Costing: A Functional-Based Control Approach Performance Reports - Budget to Actual Variances: Favorable Occurs When: Actual production is greater than budget. Actual revenue is greater than budget. Actual costs are less than budget. Unfavorable occurs for the opposite: Actual production is less than budget. Actual revenue is less than budget. Actual costs are greater than budget. Static vs. Flexible Budgeting: Static is for a designated level of activity. Flexible budgeting can provide different scenarios (expected). Flexible budgeting adjusts what costs should have been based on actual level activity (actual). Standard Cost: expected or budgeted cost of materials, labor, and manufacturing overhead required to produce one unit of product (Unit Std Cost = Price Standard * Quantity Standard) Price Standard: price that should be paid per unit of input (such as pound of material). Input (Quantity) Standard: quantity of input allowed per unit of output (for example, pounds of material allowed per one unit of product). Standard Cost Sheet: calculates the total standard cost for one unit of product. Why Use Standard Costing? To improve planning and control. To facilitate product costing. When to investigate variances? If variances are material, and the benefits will exceeds costs of investigation and corrective action. Which variances to investigate? F or U?? How to record variances? How are they closed out? 79 STANDARD...
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...that these objectives are met in large part by a set of financial statements. In this chapter, we take up the task of introducing the balance sheet, income statement, and the statement of cash flows. The presentation is organized around the accounting equation. The equation serves as the basis for elementary transaction analysis. A continuing illustration examines the impact of a number of simple transactions upon the balance sheet of a simple service business. Revenue and expense transactions have been included so that we might introduce the income statement and statement of cash flows at an elementary level. This in turn has provided the opportunity to discuss and illustrate statement articulation. Before closing, the chapter emphasizes the importance of adequate disclosure regarding both financial and nonfinancial information, thereby reinforcing the Chapter 1 theme that the financial reporting process is broader than the financial statements. The chapter also covers accounting principles dealing with asset valuation, as well as an introduction to forms of business organization. Learning Objectives 1. Explain the nature and general purpose of financial statements. 2. Explain certain accounting principles that are important for an understanding of...
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...1. (Points: 0.5) | | According to The Sarbanes-Oxley Act of 2002, the audit committee of the board of directors is directly responsible fora. hiring and firing the external auditors.b. performing tests of the company's internal control structure.c. certifying the accuracy of the company's financial reporting process.d. overseeing day-to-day operations of the internal audit department. | | Save Answer | | 2. (Points: 0.5) | | Which of the following duties could be performed by the same individual without violating segregation of duties controls?a. Programming new code for accounting software and testing accounting software upgradesb. Approving accounting software change requests and testing production scheduling software changesc. Approving software changes and implementing the upgraded softwared. Managing accounts payable function and revising code for accounting software to more efficiently process discount due dates on vendor invoices | | Save Answer | | 3. (Points: 0.5) | | Internal control is often referred to as a(n) ________, because it permeates an organization's operating activities and is an integral part of management activities.a. eventb. activityc. processd. system | | Save Answer | | 4. (Points: 0.5) | | Which of the following is accomplished by corrective controls?a. Identify the cause of the problem.b. Correct the resulting errors.c. Modify the system to prevent future occurrences of the problem.d. All of...
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...Final Exam II: Chapters 13-26 Name Financial and Managerial Accounting Instructor Section # Date Part I II III IV V Total Points 60 18 19 14 14 125 Score PART I — MULTIPLE CHOICE (60 points) Instructions: Designate the best answer for each of the following questions. ____ 1. Which of the following is a responsibility center that incurs expenses, generates revenues, and is responsible for generating a return on assets? a. Cost center b. Revenue center c. Profit center d. Investment center ____ 2. Which one of the following is the most useful measure for evaluating a manager's performance in controlling revenues and costs in a profit center? a. Contribution margin b. Contribution net income c. Contribution gross profit d....
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...1) Ethical behavior requires: that auditor’s pay not depend on the success of the clients business. 2) A payment to an owner is called: withdrawal 3) To include the personal assets and transaction of a business owner in the records an reports of the business would be in conflict with the: Business entity assumption 4) Social responsibility: is a concern for the impact of out actions on society. 5) All of the following are true regarding ethics except: Ethics do not affect the operations or outcome of a company. 6) Which of the following accounting principles would require that all goods and services purchased be recorded at cost? Cost Principle 7) The accounting principle that requires accounting information to be based on actual cost and requires assets and services to be recorded initially at the cash or cash-equivalent amount given in exchange is the: Cost Principle 8) A partnership: has unlimited liability for its partners 9) The group that attempts to create more harmony among the acct practices of different countries is the : IASB 10) The US government bonds are low-risk and low return investments. 11) Account balance: the difference between the total debits and total credits for an account including the beginning balance. 12) Which financial statement reports an organization financial position at a point in time? Balance Sheet 13) Debit is used to record: an increase in the balance of the owners withdrawals account. ...
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...Accounting 575 Week 2 Quiz To purchase this tutorial visit here: http://mindsblow.us/question_des/Accounting575Week2Quiz/2806 contact us at: help@mindblows.us Accounting 575 Week 2 Quiz Accounting 575 Week 2 Quiz To purchase this tutorial visit here: http://mindsblow.us/question_des/Accounting575Week2Quiz/2806 contact us at: help@mindblows.us Accounting 575 Week 2 Quiz Accounting 575 Week 2 Quiz To purchase this tutorial visit here: http://mindsblow.us/question_des/Accounting575Week2Quiz/2806 contact us at: help@mindblows.us Accounting 575 Week 2 Quiz Accounting 575 Week 2 Quiz To purchase this tutorial visit here: http://mindsblow.us/question_des/Accounting575Week2Quiz/2806 contact us at: help@mindblows.us Accounting 575 Week 2 Quiz Accounting 575 Week 2 Quiz To purchase this tutorial visit here: http://mindsblow.us/question_des/Accounting575Week2Quiz/2806 contact us at: help@mindblows.us Accounting 575 Week 2 Quiz Accounting 575 Week 2 Quiz To purchase this tutorial visit here: http://mindsblow.us/question_des/Accounting575Week2Quiz/2806 contact us at: help@mindblows.us Accounting 575 Week 2 Quiz Accounting 575 Week 2 Quiz To purchase this tutorial visit here: http://mindsblow.us/question_des/Accounting575Week2Quiz/2806 contact us at: help@mindblows.us Accounting 575 Week 2 Quiz Accounting 575 Week 2 Quiz To purchase this tutorial visit here: http://mindsblow.us/question_des/Accounting575Week2Quiz/2806 contact us at: help@mindblows...
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...1. The Sarbanes-Oxley Act of 2002 requires that management of publicly traded companies: report on the adequacy of the company's internal controls over financial reporting. use investment centers to evaluate top managers. compensate managers with fixed compensation plans only. eliminate stock options for managerial compensation. 2. In general, there is a direct relationship between the quality of the information provided to managers and the quality of decisions made using that information. True False 3. An operating unit of an organization is called a profit center if it is responsible: only for revenues. for investments in assets. for costs and revenues. only for costs. 4. Properly designed management control systems have both fixed compensation and contingent compensation. True False 5. Controllable revenue is included in a performance report of a: Option b Option d Option c Option a 6. Internal controls include all of the following except: requiring management authorization for the use of a company's assets. reconciling various sets of books. requiring employees to take vacations. using contingent compensation plans. 7. When managers are held responsible for costs but the input-output relationship is not well specified, a(n) ___________ is established. standard cost center asset center...
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...Acct Quiz week 7 1. Which of the following might cause a materials variance? Failing to take purchase discounts. Using a better grade of raw material. Changes in the market supply for the raw materials. All of the above. 2. What is the term that describes the rate companies frequently use to apply fixed overhead costs to units produced? Predetermined overhead rate. 3. Activity-based costing is commonly used with standard costing. Using more activity drivers increases the potential for managers to get much more information from activity-based costing than from the traditional approach. 4. What is the result of substituting computerized equipment for direct labor? Less direct labor and more manufacturing overhead. 5. Java Gourmet Coffee reports the following data for April 2010 where 200,000 pounds of roasted gourmet coffee beans were actually produced (note: standard costs do not allow for any wastage), Actual: Direct Materials: Quantity of coffee beans: 210,000 pounds Cost per pound: $0.55 per pound Direct Labor: Direct labor rate: $19.00 per hour Labor hours used: 11,000 hours Variable Overhead: Actual costs: $21,000 Standard: Direct Materials: Quantity of coffee beans: 200,000 pounds Cost per pound: $0.50 per pound Direct Labor: Direct labor rate: $20.00 per hour Labor hours to be used: 0.05 hours per pound Variable overhead: $.10 per pound ...
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...Managerial Accounting 505 Week 2 Quiz Week 2 Quiz - In job-order costing, all of the following statements are correct with respect to labor time and cost except: C. A machine operator performing routine annual maintenance work on a piece of equipment would charge the maintenance time to a specific job. Those hours should be charged to overhead For which situation(s) below would an organization be more likely to use a job-order costing system of accumulating product costs rather than a process costing system? B. A costume maker that makes specialty costumes for figure skaters Each one is unique, therefore a job order system is correct Which of the following companies would be most likely to use a job-order costing system rather than a process costing system? C. shipbuilding Same reason as the one above The Work in Process inventory account of a manufacturing company shows a balance of $2,400 at the end of an accounting period. The job cost sheets of the two uncompleted jobs show charges of $400 and $200 for direct materials, and charges of $300 and $500 for direct labor. From this information, it appears that the company is using a predetermined overhead rate, as a percentage of direct labor costs, of: C. 125% $2,400 - ($400 + $200) - ($300 + $500) = $1,000 $1,000 / ($300 + $500) = 125% If a company applies overhead to jobs on the basis of a predetermined overhead rate, a credit balance in the Manufacturing Overhead account at the end...
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...Week 2 Quiz - In job-order costing, all of the following statements are correct with respect to labor time and cost except: C. A machine operator performing routine annual maintenance work on a piece of equipment would charge the maintenance time to a specific job. Those hours should be charged to overhead For which situation(s) below would an organization be more likely to use a job-order costing system of accumulating product costs rather than a process costing system? B. A costume maker that makes specialty costumes for figure skaters Each one is unique, therefore a job order system is correct Which of the following companies would be most likely to use a job-order costing system rather than a process costing system? C. shipbuilding Same reason as the one above The Work in Process inventory account of a manufacturing company shows a balance of $2,400 at the end of an accounting period. The job cost sheets of the two uncompleted jobs show charges of $400 and $200 for direct materials, and charges of $300 and $500 for direct labor. From this information, it appears that the company is using a predetermined overhead rate, as a percentage of direct labor costs, of: C. 125% $2,400 - ($400 + $200) - ($300 + $500) = $1,000 $1,000 / ($300 + $500) = 125% If a company applies overhead to jobs on the basis of a predetermined overhead rate, a credit balance in the Manufacturing Overhead account at the end of any period means that: B. more overhead...
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...Principles of Accounting II - Spring 2013 OL4 Quiz #1 – Part 2 1. Bonds are frequently issued at amounts greater or less than face value. Describe how the market interest rate, relative to the contractual interest rate, affects the selling price of bonds. Also explain the rationale for requiring an investor to pay accrued interest when a bond is purchased between interest payment dates. Type your answer here. Your answer should fit within this page. The market interest rate is usually different from the contractual interest rate. With that being said bonds are frequently issued at an amount higher than face value or could also be issued at an amount lesser than face value. When the market has a higher interest rate than the contractual rate, investors find other investments to contribute to which consequently makes that bond in less demand. To ensure bonds are more attractive to investors the issue price is lowered and bonds are sold at a discounted rate. If the market interest rate is less than the contractual rate there is greater demand for the bond because the interest rate is then higher. In this instance, the issue price would be greater than face value and the bonds are issued at a premium rate. Investors are required to pay interest accrued as it allows the issuer of the bond to make the same payment of interest to all bondholders on the same interest payment date. If this were not completed, the bond issuer would have to then determine the payment of interest...
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...ACC650 Module 8-Quiz Review Using Accounting Information in Decision Making Click Link Below To Buy: http://hwcampus.com/shop/acc650-module-8-quiz-review-using-accounting-information-decision-making/ Module 8 Quiz : Using Accounting Information in Decision Making 1) The following data pertain to Lemon Enterprises: a. Variable manufacturing cost: $70 b. Variable selling and administrative cost: 20 c. Applied fixed manufacturing cost: 40 d. Allocated fixed selling and administrative cost: 15 e. What price will the company charge if the firm uses cost-plus pricing based onvariable manufacturing cost and a markup percentage of 110%? $84. $147. $210. $231. Some other amount. 2) Which of the following represents the cost-plus pricing formula? a. Price = cost + (markup percentage * cost). Price = cost + markup percentage. Price = cost + markup percentage. Price = cost * markup percentage. Price = cost + (markup percentage + cost). 3) Which of the following is the proper calculation of a company's depreciation tax shield? a. Depreciation deduction + income taxes. Depreciation * (1 - tax rate). Depreciation * tax rate. Depreciation / tax rate. Depreciation / (1 - tax rate). 4) The net-present-value method assumes that project funds are reinvested at the: a. hurdle rate. rate of return earned on the project. cost of debt capital. cost of equity capital. internal rate of return. 5) In a net-present-value analysis, the discount...
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...ACCT 324 Federal Tax Accounting I Entire Course http://www.devryguiders.com/downloads/acct-324-federal-tax-accounting-i-entire-course/ ACCT 324 Week 1 DQ 1 ACCT 324 Week 1 DQ 2 ACCT 324 Week 1 Quiz – Federal Tax Law and Process ACCT 324 Week 2 DQ 1 ACCT 324 Week 2 DQ 2 ACCT 324 Week 2 Quiz – Income Inclusions, Exclusions & Accounting Methods ACCT 324 Week 2 You Decide ACCT 324 Week 3 Course Project: Deductions, Losses & Depreciation ACCT 324 Week 3 DQ 1 ACCT 324 Week 3 DQ 2 ACCT 324 Week 3 Quiz – Deductions, Losses & Depreciation ACCT 324 Week 4 DQ 1 ACCT 324 Week 4 DQ 2 ACCT 324 Week 4 Midterm Exam – Deductions, Losses & Passive Activities ACCT 324 Week 5 Course Project ACCT 324 Week 5 DQ 1 ACCT 324 Week 5 DQ 2 ACCT 324 Week 5 Quiz – AMT, Tax Credits, & Tax Payments ACCT 324 Week 6 DQ 1 ACCT 324 Week 6 DQ 2 ACCT 324 Week 6 Quiz – Property Transactions ACCT 324 Week 7 DQ 1 ACCT 324 Week 7 DQ 2 ACCT 324 Week 7 Quiz – Capital Gains & Losses ACCT 324 Week 8 Final Exam ACCT 324 Federal Tax Accounting I Entire Course http://www.devryguiders.com/downloads/acct-324-federal-tax-accounting-i-entire-course/ ACCT 324 Week 1 DQ 1 ACCT 324 Week 1 DQ 2 ACCT 324 Week 1 Quiz – Federal Tax Law and Process ACCT 324 Week 2 DQ 1 ACCT 324 Week 2 DQ 2 ACCT 324 Week 2 Quiz – Income Inclusions, Exclusions & Accounting Methods ACCT 324 Week 2 You Decide ACCT 324 Week 3 Course Project: Deductions, Losses & Depreciation ACCT 324 Week 3 DQ 1 ACCT 324 Week 3 DQ 2 ...
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