Financial And Managerial Accounting Ch 1 Flashcards
Managerial accounting information is generally prepared for:
a. regulatory agencies
b. stockholders
c. managers
d. creditors
Managerial accounting information is generally prepared for:
c. managers
Cost of goods available for sale is a step in the calculation of cost of goods sold of:
a. a merchandising company but not a manufacturing company
b. a manufacturing company but not a merchandising company
c. a merchandising company and a manufacturing company
d. neither a merchandising company nor a manufacturing company
Cost of goods available for sale is a step in the calculation of cost of goods sold of:
c. a merchandising company and a manufacturing company
Both of them use cost of goods available for sale to calculated cost of goods sold.
Managerial accounting does not encompass:
a. profit planning
b. determining cost behavior
c. calculating earnings per share
d. calculating product cost
Managerial accounting does not encompass:
c. calculating earnings per share
Financial statements for external users can be described as
a. managerial reports
b. user-specific
c. special-purpose
d. general-purpose
Financial statements for external users can be described as
d. general-purpose
Direct materials are a:
a. Product cost and manufacturing overhead cost
b. Product cost
c. Product cost, manufacturing overhead cost and period cost
d. None of the above
Direct materials are a:
b. Product cost
Which of the following costs are classified as a period cost?
a. wages paid directly to factory custodian
b. wages paid to a production department supevisor
c. wages paid to a cost accounting department supervisor
d. wages paid to an assembly worker
Which of the following costs are classified as a period cost?
c. wages paid to a cost accounting department supervisor
Wages paid to a cost accounting department supervisor would be included in the adminstrative expenses and classified as a period cost.
Which of the following managerial accounting technique attempts to allocate manufacturing overhead in a more meaningful fashion?
a. just-in-time inventory
b. total quality management
c. balanced scorecard
d. activity-based costing
Which of the following managerial accounting technique attempts to allocate manufacturing overhead in a more meaningful fashion?
d. activity-based costing
The management of an organization performs several broad functions. They are:
a. planning, directing, and selling
b. planning, directing, and controlling
c. planning, manufacturing, and controlling
d. planning, manufacturing, and controlling
The management of an organization performs several broad functions. They are:
b. planning, directing, and controlling
For the year, Zhou Ltd. has cost of goods manufactured of HK600 000, beginning finished goods inventory of HK200 000, and ending finished goods inventory HK250 000. The cost of goods sold is:
a. HK450 000
b. HK500 000
c. HK550 000
d. HK600 000
For the year, Zhou Ltd. has cost of goods manufactured of HK600 000, beginning finished goods inventory of HK200 000, and ending finished goods inventory HK250 000. The cost of goods sold is:
c. HK550 000
COGS = beginning finished goods inventory + cost of goods manufactured - ending finished goods inventory = 200 000 + 600 000 - 250 000 = 550 000
Which of the following costs would a computer manufacturer include in a manufacturing overhead?
a. The cost of disk drives
b. The wages earned by by computer assemblers
c. The cost of the memory sticks
d. Depreciation on testing equipment
Which of the following costs would a computer manufacturer include in a manufacturing overhead?
d. Depreciation on testing equipment
Managerial accountants have a single role within an organization, collecting and reporting costs to management. True or false?
Managerial accountants have a single role within an organization, collecting and reporting costs to management. True or false?
Answer: false
Managerial accounting reports must now comply with generally accepted accounting principles (GAAP). True or false?
Managerial accounting reports must now comply with generally accepted accounting principles (GAAP). True or false?
Answer: false
The major reporting standard for presenting managerial accounting information is:
a. relevance
b. the cost principle
c. generally accepted accounting principles
d. the current tax law
The major reporting standard for presenting managerial accounting information is:
a. relevance
Managerial accounting reports are special-purpose and issued as frequently as needed. True or false?
Managerial accounting reports are special-purpose and issued as frequently as needed. True or false?
Answer: true
Which of the following statements about internal reports is not true?
a. Internal reports may discuss prospective events
b. The content of internal reports may extend beyond the double-entry accounting
system
c. Most internal reports are summarized rather than detailed
d. Internal reports may show all amounts at market values
Which of the following statements about internal reports is not true?
c. Most internal reports are summarized rather than detailed
