chp 1 sb : Management Accounting and Corporate Governance

Question 1

Indirect costs

Answer 1

cannot be cost-effectively traced to products

Question 2

What happened yesterday is reported by

Answer 2

financial

Question 3

Costs incurred in the process of making products, including direct materials, direct labor and manufacturing overhead are ​ costs.

Answer 3

Midstream

Question 4

Paying administrative salaries with cash results in which of the following? (Select all that apply.)

Answer 4

The transaction does not affect liabilities.

Decreases net income.

Decreases total assets.

Decreases stockholders’ equity.

Question 5

If a company incurs $4,000 in manufacturing costs to produce 200 units, what is the average cost per unit?

Answer 5

$20 ($4,000/200 units)

Question 6

Which type of company makes and sells goods to customers?

Answer 6

A Manufacturing company

Question 7

Making a cash payment for materials, labor or overhead is a(n) blank​ transaction.

Answer 7

asset exchange

Question 8

What costs should management consider when pricing a product?

Answer 8

Upstream

Downstream

Midstream

Question 9

Costs that cannot be traced to a product or service in a cost-effective manner are called blank​ costs.

Answer 9

indirect

Question 10

True or false: Costs incurred in the process of making products, including direct materials, direct labor and manufacturing overhead are upstream costs.

Answer 10

False

Question 11

Paying administrative salaries with cash affects which of the following financial statements? (Select all that apply.)

Answer 11

Total assets on the balance sheet

Total stockholders’ equity on the balance sheet

Income statement

Question 12

A hospital is an example of a blank​ company.

Answer 12

service

Question 13

Information in a(n) ____ is immutable, which means it can never be removed or altered.

Answer 13

blockchain

Question 14

If upstream or downstream costs are not included in determining the cost of products, products will be blank​.

Answer 14

undercosted

Question 15

What are Indirect costs?

Answer 15

cannot be cost-effectively traced to products

Question 16

The practice of identifying the best practices used by competitors is called

Answer 16

benchmarking

Question 17

Paying salaries and administrative costs with cash results in which of the following? (Select all that apply.)

Answer 17

Decreases cash.

Decreases net income.

Decreases stockholders’ equity.

Question 18

Cryptocurrencies and accounting ledgers are both components of the emerging ______ technology

Answer 18

blockchain

Question 19

Paying salaries and administrative costs with cash results in which of the following? (Select all that apply.)

Answer 19

Decreases stockholders’ equity.

Decreases cash.

Decreases net income.