Brainscape's Knowledge GenomeTM

Browse over 1 million classes created by top students, professors, publishers, and experts.


See full index

Introduction to Business > Basic Elements of Managerial Accounting > Flashcards

Basic Elements of Managerial Accounting Flashcards

1
Q

It refers to the value of an asset at a balance date (or point in time)

A

Stock

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
2
Q

It refers to the total value of transactions (sales or purchases, incomes or expenditures) during an accounting period

A

Flow

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
3
Q

What is the basic accounting equation?

A

Company Equity = fixed assets + current assets - debts (creditors)

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
4
Q

What is the basic equation for assets?

A

Assets = Liabilities + Stockholder’s Equity

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
5
Q

This refers to the economic resources owned by a business.

A

Assets

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
6
Q

This refers to the financial obligation or debts of a business

A

Liabilities

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
7
Q

This refers to the owner’s claims of the assets of a business

A

Stockholder’s Equity

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
8
Q

It is a point in time once a year

A

Stock

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
9
Q

It is during an accounting period during the year

A

Flow

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
10
Q

What are the components in a flow sheet?

A

Income (sales)
Expenditures (Purchases/Costs)
Profit/Loss After Tax

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
11
Q

It is a measure of the products produced, the services provided and expressed in kind

A

Yield

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
12
Q

What are the three classification of the products?

A

main, twin, by-products

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
13
Q

Prices can be _____, _______, or _______

A

open market, protective, cost-originated

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
14
Q

What are the three classification of protective prices?

A

official, bottom-up, top-protected

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
15
Q

Give an example of a product main, twin and by-products.

A

Milk (main)
Calf (twin)
Animal Manures (by-products)

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
16
Q

It is a price for all customers.

A

Fixed prices

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
17
Q

Where can you price obtained by bargaining?

A

Open Market

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
18
Q

What are the two characteristics of a fixed prices?

A

a) price fixed by international agreement or by a governmental price-fixing agency
b) price established by a contract and not subject to subsequent change

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
19
Q

It is the price at which national intervention agencies in the EU are obliged to purchase any amount of a commodity offered to them regardless of the level of marketing prices

A

Intervention Price

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
20
Q

It is the floor for market prices

A

Intervention Price

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
21
Q

______ purchases have constituted one of the principal policy mechanisms regulating EU markets in sugar, cereal grains, butter and skimmed milk powder and beef

A

Intervention

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
22
Q

It is a government regulation within a period of time

A

Maximum Consumer Price

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
23
Q

In this modified price approach, businesses have the chance to sell less than the maximum price

A

Maximum Consumer Price

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
24
Q

True or False

If you have a fixed maximum retail price, you can sell a product more than the maximum retail price

A

False

25
Q

What is the formula for the calculation of a production value or revenue?

A

Production Value (PV) Revenue (R) = Yield x Price / Unit + Other

26
Q

It is the monetary value of the goods and services produced (usually for one year)

A

Yield/Service Value

27
Q

The amount of money received for the main service or product sold

A

Sales Revenue

28
Q

What are possible other factors in the elements of production or service value?

A

direct subsidy and other revenues

29
Q

What are the three elements of production or service value?

A

a) yield or service value
b) sales revenue
c) other factors

30
Q

It is the revenue from the sale of main, twin and by-products

A

Sales Revenue

31
Q

In the presence of the sector (such as arable land or livestock, the producer (tenant) receives

A

Direct Subsidy

32
Q

What are some examples of other revenues?

A

Income from insurance reimbursement

Revenues received after partner or affiliated companies

33
Q

What are the four elements of a production or service value of a business?

A

Sales Revenue
Direct Subsidy
Other Revenues
Products or Services Produced but not sold

34
Q

How can you increase the production value?

A

a) increase yields
b) achieving higher prices
c) use other revenues

35
Q

How can you increase yield?

A

a) the quality and quantity of input materials
b) the technological level of production service
c) optimal level of expenses
d) improve the work organization
e) human factors such as knowledge or experience
f) reduce other expenses

36
Q

How can you achieve higher prices?

A

a) demand supply
b) nature of product
c) quality
d) uniformity
e) time of sale
f) sales volume
g) palce of sale

37
Q

How can you use other revenues to increase production value?

A

a) support or subsidy
b) insurance compensation
c) revenue from associates

38
Q

What is the production cost formula?

A

Production Cost = (Expenditure x Unit Price) + Other

39
Q

It is the amount of resources used for production and services, expressed in natural units

A

Expenditure

40
Q

It is the monetary value of the expenditures used for production and services

A

Production Cost

41
Q

What comprises expenditure?

A

a) used materials
b) workforce used
c) services used
d) depreciation used
e) other

42
Q

What are examples of content cost without expenditures?

A

various taxes, insurance fees, membership fees, interest rates, rent

43
Q

What are the two response to output terms?

A

variable and fixed

44
Q

It does not respond to the output

A

Fixed Cost

45
Q

It responds to the output

A

Variable Cost

46
Q

True or False

All companies have fixed cost

A

True

47
Q

What are some examples of fixed cost?

A

a) cost without expenditures
b) depreciation cost
c) overheads depreciation cost
d) proportion of repairs and maintenance
e) administrative cost, other general
f) personnel cost for permanent staff

48
Q

What are some examples of variable costs?

A

a) material cost
b) personnel cost (non-permanent)
c) outside service cost
d) other direct (variable) cost

49
Q

It is only constant up to a maximum capacity.

A

Fixed Cost

50
Q

The fixed cost increases by a step so it is customary to call it a __________ variable cost

A

step-by-step

51
Q

Fixed cost is also termed as ______

A

step-by-step variable cost

52
Q

They are related to the quantity of a product produced.

A

Variable Cost

53
Q

They change as they change in relation to the quantity of goods traded

A

Variable Cost

54
Q

They do not occur when production is suspended

A

Variable Cost

55
Q

In this case, the cost varies above the percentage of the increase in output

A

Progressive Variable Cost

56
Q

True or False

The fixed cost does not become variable

A

False

57
Q

True or False

Total costs decrease as capacity is utilized

A

True

58
Q

What is one grouping of production cost discussed in the lesson?

A

Grouping according to the relationship of volume of production or service

59
Q

True or False

The variable cost will be constant or fixed

A

True

Introduction to Business (3 decks)

Brainscape helps you reach your goals faster, through stronger study habits.
© 2024 Bold Learning Solutions. Terms and Conditions