Deck 16: Management Accounting: A Business Partner

Question 1

The manufacturing cost accounts of Varsity Manufacturing Co. provide the following information for the year ended December 31, Year 1:
If you select answer d, indicate the correct amount.

-Refer to the above data. The total amount of inventory that should appear in the company's balance sheet at December 31, Year 1 is:

A) $115,000.
B) $860,000.
C) $85,000.
D) Some other amount. $____________

Answer 1

$115,000.

Question 2

The manufacturing cost accounts of Varsity Manufacturing Co. provide the following information for the year ended December 31, Year 1:
If you select answer d, indicate the correct amount.

-Refer to the above data. The total manufacturing costs charged to the Work in Process Inventory account during Year 1 amounted to:

A) $850,000.
B) $820,000.
C) $810,000.
D) Some other amount. $____________

Answer 2

$820,000.

Question 3

The manufacturing cost accounts of Varsity Manufacturing Co. provide the following information for the year ended December 31, Year 1:
If you select answer d, indicate the correct amount.

-Refer to the above data. The total manufacturing costs deducted from revenue in Year 1 amounted to:

A) $890,000.
B) $880,000.
C) $845,000.
D) Some other amount. $____________

Answer 3

$845,000.

Question 4

The manufacturing cost accounts of Varsity Manufacturing Co. provide the following information for the year ended December 31, Year 1:
If you select answer d, indicate the correct amount.

-Refer to the above data. The balance in the Materials Inventory account at the beginning of Year 1 was:

A) $65,000.
B) $85,000.
C) $45,000.
D) Some other amount. $____________

Question 5

The "flow" of manufacturing costs through the ledger of Able Mfg. Co. during April is summarized in the following T accounts. Certain amounts have been omitted and are represented by question marks.


-Refer to the above data. The total amount of inventory that should appear in the company's balance sheet at April 30 is:

A) $39,000.
B) $82,000.
C) $73,000.
D) Some other amount. $____________

Question 6

The "flow" of manufacturing costs through the ledger of Able Mfg. Co. during April is summarized in the following T accounts. Certain amounts have been omitted and are represented by question marks.


-Refer to the above data. The amount of wages paid to direct workers during April amounted to:

A) $14,000.
B) $12,000.
C) $13,000.
D) Some other amount. $____________

Question 7

The "flow" of manufacturing costs through the ledger of Able Mfg. Co. during April is summarized in the following T accounts. Certain amounts have been omitted and are represented by question marks.


-Refer to the above data. The total manufacturing costs charged to production during April were:

A) $74,000.
B) $72,000.
C) $76,000.
D) Some other amount. $____________

Question 8

The "flow" of manufacturing costs through the ledger of Able Mfg. Co. during April is summarized in the following T accounts. Certain amounts have been omitted and are represented by question marks.


-Refer to the above data. The cost of finished goods manufactured in April amounted to:

A) $72,000.
B) $80,000.
C) $47,000.
D) Some other amount. $____________

Question 9

The "flow" of manufacturing costs through the ledger of Able Mfg. Co. during April is summarized in the following T accounts. Certain amounts have been omitted and are represented by question marks.


-Refer to the above data. The cost of goods sold in April amounted to:

A) $72,000.
B) $80,000.
C) $39,000.
D) Some other amount. $____________

Question 10

You are to summarize the "flow" of manufacturing costs through the ledger accounts of Berman Mfg. Co. for the month of June. Complete the following T accounts by entering summary amounts for the month in each of the blank spaces provided (lettered a through j). In addition to the amounts already shown in the T accounts, the following information is available:

Question 11

Information about the manufacturing costs and inventories of Tracy Mfg. Co. in Year 1 is shown below:
a) Using the appropriate data, prepare a Schedule of Cost of Finished Goods Manufactured for the year ended December 31, Year 1
TRACY MFG. CO.
Schedule of Cost of Finished Goods Manufactured
For the Year Ended December 31, Year 1
b) Compute the cost of goods sold in Year 1: $__________