Exam 1-202

Question 1

Managers responsibilities

Answer 1

Plan, direct, and control

Question 2

Line position

Answer 2

People directly involved in achieving the basic objectives of the organization

Question 3

Line position examples

Answer 3

Board of directors, president, CEO/COO, managers of plants

Question 4

Staff positions

Answer 4

People who provide assistance to the line positions, but dont have direct authority over line positions

Question 5

Staff positions examples

Answer 5

CFO, treasurer, accountants, HR, legal

Question 6

Principals of ethics

Answer 6

Honesty, fairness, objectivity, reaponsibility

Question 7

Standards of behavior

Answer 7

Competence, confidentiality, integrity, credibility

Question 8

Strategies for unethical behavior

Answer 8

Talk with supervisor, call IMA/talk to counselor, consult with attorney

Question 9

Extensible business reporting language (XBRL)

Answer 9

Format used to make statements researchable using data tags

Question 10

Advantages XBRL

Answer 10

Decreases retrival and conversion time and facilitates comparisons

Question 11

Triple bottom line

Answer 11

Ecomonic profit, human people, and environmental planet

Question 12

Value chain

Answer 12

R&D, design, manufacturing, marketing, distribution, customer service

Question 13

Inventoriable product cost

Answer 13

Raw materials, direct labor, MOH

Question 14

Period cost

Answer 14

Selling expenses, general ad expenses

Question 15

DM used

Answer 15

Begining RM+purchases-ending RM

Question 16

Cost of Goods Manufactures

Answer 16

Begining WP+DM used+DL+MOH-Ending WP

Question 17

Cost of goods sold

Answer 17

Begining FG+COGM-ending FG

Question 18

Gross margin

Answer 18

Sales-cost of goods sold

Question 19

Relevant cost

Answer 19

Differential, marginal, and incremental

Question 20

Irrelevant cost

Answer 20

Opportunity and sunk cost

Question 21

Fixed cost

Answer 21

Stay constant over a range of activity levels

Question 22

Variable cost

Answer 22

Change in proportion to activity level

Question 23

Total cost

Answer 23

Fixed+ (variable*units)

Question 24

Average cost

Answer 24

Total/units

Question 25

Assigning cost to cost objects

Answer 25

Direct and indirect

Question 26

External financial reportinng

Answer 26

Product and period

Question 27

Performance evaluation

Answer 27

Controllable and noncontrollable

Question 28

Decison makkng

Answer 28

Relevant and irrelevant

Question 29

Planning

Answer 29

Variable and fixed

Question 30

POHR

Answer 30

Estimated MOH/ Estimated total units

Question 31

MOH allocated

Answer 31

POHR* actual activity level

Question 32

Steps to ABC

Answer 32

Create pools, select allocation for pools, calculate allocation rate, allocate MOH to activitest

Question 33

Eight typical waste

Answer 33

Defects, overproduction, waiting, not using full potential, transportation, inventory, movement, excess processing

Question 34

Prevention cost

Answer 34

Avoid producing poor quality goods or services

Question 35

Appraisal cost

Answer 35

Detect poor quality goods or services

Question 36

Internal failure cost

Answer 36

Cost incurred on defective products before delievery

Question 37

External failure cost

Answer 37

Incurred after defected product is delievered

Question 38

Unit level

Answer 38

Activites and cost incurred for every unit

Question 39

Batch level

Answer 39

Activities and cost incurred for every batch regardless of how many units

Question 40

Product level

Answer 40

Activites and cost incurred for a particular product regardless of units or batches

Question 41

Factity level

Answer 41

Activites and cost incurred no matter how many units, batches, or products