Question 1

merchandiser's purchases are equivalent to what for a manufacturer?
A) Materials inventory
B) Cost of goods manufactured
C) Work in process inventory
D) Cost of goods sold

Accepted Answer

B

Question 2

Wright Company reports production costs for 2009 as follows:

- How much are Wright Company's period costs for 2009?
A) $250,000
B) $575,000
C) $145,000
D) $375,000

Accepted Answer

C

Question 3

Wright Company reports production costs for 2009 as follows:
 
-How much are Wright Company's inventoriable product costs for 2009?
A) $925,000
B) $605,000
C) $975,000
D) $1,025,000

Accepted Answer

D

Question 4

Fitness Company reports the following data for 2009, its first year of operations:
 
-What are the total manufacturing costs to be accounted for?
A) $300,000
B) $190,000
C) $160,000
D) $570,000

Accepted Answer

Total manufacturing costs to be accounted for include all costs involved in the production process, which typically encompasses direct materials, direct labor, and manufacturing overhead. Without specific values for these components, the correct answer cannot be determined from the provided options. However, if D) $570,000 represents the sum of all relevant manufacturing costs in a given scenario, then it would be the correct choice.

Question 5

Fitness Company reports the following data for 2009, its first year of operations:
 
-EWhat is cost of goods sold for 2009?
A) $365,000
B) $480,000
C) $340,000
D) $240,000

Accepted Answer

Cost of goods sold = Beginning inventory + Purchases - Ending inventory= 200,000 + 400,000 - 165,000= $365,000

Question 6

Redbird Company reports the following data for 2009:
 Manufacturing overhead is 75% of the cost of direct labor. What is work in process inventory on Dec. 31, 2009?
A) $13,500
B) $10,200
C) $12,250
D) $22,500

Accepted Answer

The answer of Redbird Company reports the following data for...

Question 7

Selected data for Young Company for 2009 is presented below:
 What is the manufacturing overhead for 2009?
A) $47,000
B) $50,000
C) $38,000
D) $46,000

Accepted Answer

The answer of Selected data for Young Company for 2009...

Question 8

Village Company's selected cost data for 2009 are shown below:
 What are total manufacturing costs incurred by Village Company in 2009?
A) $149,200
B) $158,300
C) $139,800
D) $117,100

Accepted Answer

The answer of Village Company's selected cost data for 2009...

Question 9

Given the following information, determine the cost of goods manufactured and the cost of goods sold for 2009.

A) $781,000 and $837,000
B) $461,000 and $414,000
C) $731,000 and $684,000
D) $765,000 and $709,000

Accepted Answer

The answer of Given the following information, determine the cost...

Question 10

Given the following information, calculate the direct materials purchased in 2009.

A) $67,000
B) $85,000
C) $61,000
D) $80,000

Accepted Answer

The answer of Given the following information, calculate the direct...

Question 11

Robinson Company has provided the following information:
.Raw materials inventory increased $15,000.
.Work in process inventory decreased $29,000.
.Finished goods inventory decreased $47,000.
.Sales were $500,000.
.The gross profit ratio was 52.2%.
-
How much was Robinson's cost of goods manufactured?
A) $268,000
B) $192,000
C) $286,000
D) $239,000

Accepted Answer

The answer of Robinson Company has provided the following information:
.Raw...

Question 12

Robinson Company has provided the following information:
.Raw materials inventory increased $15,000.
.Work in process inventory decreased $29,000.
.Finished goods inventory decreased $47,000.
.Sales were $500,000.
.The gross profit ratio was 52.2%.
- 
The manufacturing costs incurred by Robinson during the period were how much?
A) $221,000
B) $192,000
C) $163,000
D) $239,000

Accepted Answer

The answer of Robinson Company has provided the following information:
.Raw...

Question 13

Savard Corporation reported the following:
.Raw material purchases totaling $100,000.
.Raw material inventory increased $5,000.
.Direct labor costs incurred totaled $150,000.
.Total factory overhead was $225,000.
.Work in process increased $20,000.
.Indirect labor was $7,000.
.Finished goods increased $40,000.
.Sales salaries were $75,000.
-
How much was Savard's cost of goods manufactured?
A) $450,000
B) $490,000
C) $457,000
D) $497,000

Accepted Answer

Cost of goods manufactured = Raw material purchases + Raw material inventory increase + Direct labor costs + Total factory overhead + Work in process increase - Indirect labor - Finished goods increase - Sales salaries= $100,000 + $5,000 + $150,000 + $225,000 + $20,000 - $7,000 - $40,000 - $75,000= $450,000

Question 14

Savard Corporation reported the following:
.Raw material purchases totaling $100,000.
.Raw material inventory increased $5,000.
.Direct labor costs incurred totaled $150,000.
.Total factory overhead was $225,000.
.Work in process increased $20,000.
.Indirect labor was $7,000.
.Finished goods increased $40,000.
.Sales salaries were $75,000.
- How much was Savard's cost of goods sold?
A) $410,000
B) $450,000
C) $407,000
D) $457,000

Accepted Answer

The cost of goods sold is calculated as the sum of raw material purchases, direct labor costs, and factory overhead, minus the change in raw material inventory and work in process inventory. In this case, the cost of goods sold is $100,000 + $150,000 + $225,000 - $5,000 - $20,000 = $410,000.

Question 15

The following information has been provided by LeMaire Company:
.Direct labor: $50,000
.Direct materials used: $20,000
.Direct materials purchased: $27,000
.Cost of goods manufactured: $100,000
.Ending work in process: $16,000
.Corporate headquarters' property taxes: $6,000
.Manufacturing overhead: $39,000
The beginning work in process was:
A) $23,000.
B) $7,000.
C) $9,000.
D) $1,000.

Accepted Answer

The beginning work in process can be calculated using the formula: Beginning WIP + Direct Materials Used + Direct Labor + Manufacturing Overhead - Ending WIP = Cost of Goods Manufactured. Plugging in the values: Beginning WIP + $20,000 + $50,000 + $39,000 - $16,000 = $100,000. Solving for Beginning WIP gives $7,000.

Question 16

The following information was obtained from Sizzler Company:
.Advertising costs: $7,900
.Indirect labor: $9,000
.Direct Labor: $31,000
.Indirect materials: $7,200
.Direct materials: $47,000
.Factory utilities: $3,000
.Factory supplies: $700
.Factory janitorial costs: $1,900
.Manufacturing equipment depreciation: $1,600
.Delivery vehicle depreciation: $790
.Administrative wages and salaries: $19,000
-How much were Sizzler's period costs?
A) $27,690
B) $7,900
C) $19,790
D) $19,000

Accepted Answer

Period costs include advertising costs, delivery vehicle depreciation, and administrative wages and salaries, totaling $27,690.

Question 17

The following information was obtained from Sizzler Company:
.Advertising costs: $7,900
.Indirect labor: $9,000
.Direct Labor: $31,000
.Indirect materials: $7,200
.Direct materials: $47,000
.Factory utilities: $3,000
.Factory supplies: $700
.Factory janitorial costs: $1,900
.Manufacturing equipment depreciation: $1,600
.Delivery vehicle depreciation: $790
.Administrative wages and salaries: $19,000
-How much were Sizzler's product costs?
A) $102,190
B) $99,500
C) $129,090
D) $101,400

Accepted Answer

The answer of The following information was obtained from Sizzler...

Question 18

The following information was obtained from Sizzler Company:
.Advertising costs: $7,900
.Indirect labor: $9,000
.Direct Labor: $31,000
.Indirect materials: $7,200
.Direct materials: $47,000
.Factory utilities: $3,000
.Factory supplies: $700
.Factory janitorial costs: $1,900
.Manufacturing equipment depreciation: $1,600
.Delivery vehicle depreciation: $790
.Administrative wages and salaries: $19,000
-How much was Sizzler's factory overhead?
A) $24,190
B) $1,600
C) $23,400
D) $3,600

Accepted Answer

Factory overhead includes all manufacturing costs except direct materials and direct labor. Therefore, it includes indirect labor ($9,000), indirect materials ($7,200), factory utilities ($3,000), factory supplies ($700), factory janitorial costs ($1,900), and manufacturing equipment depreciation ($1,600), totaling $23,400.

Quiz 1: Introduction to Management Accounting

merchandiser's purchases are equivalent to what for a manufacturer?

Wright Company reports production costs for 2009 as follows: - How much are Wright Company's period costs for 2009?

Wright Company reports production costs for 2009 as follows: -How much are Wright Company's inventoriable product costs for 2009?

Fitness Company reports the following data for 2009, its first year of operations: -What are the total manufacturing costs to be accounted for?

Fitness Company reports the following data for 2009, its first year of operations: -EWhat is cost of goods sold for 2009?

Redbird Company reports the following data for 2009: Manufacturing overhead is 75% of the cost of direct labor. What is work in process inventory on Dec. 31, 2009?

Selected data for Young Company for 2009 is presented below: What is the manufacturing overhead for 2009?

Village Company's selected cost data for 2009 are shown below: What are total manufacturing costs incurred by Village Company in 2009?

Given the following information, determine the cost of goods manufactured and the cost of goods sold for 2009.

Given the following information, calculate the direct materials purchased in 2009.