Question 1

Nyce Vending has the following information for the current fiscal year:  The Sales for Nyce Vending are
A) $166,000
B) $168,000
C) $209,000
D) $223,000

Accepted Answer

Sales = COGS-Variable + COGS-Fixed + SG&A-Variable + SG&A-Fixed + Operating Income = $85,000 + $43,000 - $26,000 + $14,000 + $55,000 = $223,000.

Question 2

Harper's Hunting and Fishing has the following information for the current fiscal year:  The Sales for Harper's Hunting and Fishing are
A) $306,000
B) $508,000
C) $543,000
D) $581,000

Accepted Answer

Sales = COGS-Variable + SG&A-Variable + Contribution Margin = $225,000 + $38,000 + $245,000 = $508,000.

Question 3

Bert's Business purchased equipment in 2 years ago at a cost $120,000. Last year, Bert had the equipment repaired at a cost of $5,000. In the current year, Bert is faced with the following alternatives: (1) pay for additional repairs for the equipment at a cost of $8,000; or (2) purchase new equipment at a cost of $144,000. The old equipment will have a trade-in value of approximately $20,000. What amount of the equipment costs represent sunk costs?

Accepted Answer

The answer of Bert's Business purchased equipment in 2 years...

Question 4

The following transactions occurred during the month of April for Nico's Nursery:  Determined the total expenses, total assets and total expenditures for Nico's Nursery for April.

Accepted Answer

The answer of The following transactions occurred during the month...

Question 5

Carnival Cruises breaks down its revenue and cost information for the year ended 2022 as follows:  Perform vertical analysis for the income statement for Carnival Cruises. (Round to nearest whole percentage)

Accepted Answer

The answer of Carnival Cruises breaks down its revenue and...

Question 6

Given the following information for C & J, Inc. identify where the items will be classified (asset or expense, or not reported) and on which financial statement the items will reported (income statement, balance sheet, or N/A).

Accepted Answer

The answer of Given the following information for C &...

Question 7

Match the following terms the appropriate defintion.
-Opportunity Cost
A)A cash outflow
B)A resource sacrificed to bring benefit in current period; no remaining future benefit
C)A measure of a resource being sacrificed; includes assets and expenses.
D)Costs already incurred in the past
E)Net benefit of paths not taken in decision-making
F)Resource with future benefits

Accepted Answer

Opportunity cost is the net benefit of the next best alternative that is foregone when a decision is made.

Question 8

Match the following terms the appropriate defintion.
-Sunk Cost
A)A cash outflow
B)A resource sacrificed to bring benefit in current period; no remaining future benefit
C)A measure of a resource being sacrificed; includes assets and expenses.
D)Costs already incurred in the past
E)Net benefit of paths not taken in decision-making
F)Resource with future benefits

Accepted Answer

Sunk costs are costs that have already been incurred in the past and cannot be recovered or changed.

Question 9

Match the following terms the appropriate defintion.
-Expenditure
A)A cash outflow
B)A resource sacrificed to bring benefit in current period; no remaining future benefit
C)A measure of a resource being sacrificed; includes assets and expenses.
D)Costs already incurred in the past
E)Net benefit of paths not taken in decision-making
F)Resource with future benefits

Accepted Answer

The answer of Match the following terms the appropriate defintion.
-Expenditure
A)A...

Question 10

Match the following terms the appropriate defintion.
-Asset
A)A cash outflow
B)A resource sacrificed to bring benefit in current period; no remaining future benefit
C)A measure of a resource being sacrificed; includes assets and expenses.
D)Costs already incurred in the past
E)Net benefit of paths not taken in decision-making
F)Resource with future benefits

Accepted Answer

An asset is a resource with future benefits that is owned or controlled by an entity.

Question 11

Match the following terms the appropriate defintion.
-Expense
A)A cash outflow
B)A resource sacrificed to bring benefit in current period; no remaining future benefit
C)A measure of a resource being sacrificed; includes assets and expenses.
D)Costs already incurred in the past
E)Net benefit of paths not taken in decision-making
F)Resource with future benefits

Accepted Answer

An expense is a resource sacrificed to bring benefit in the current period with no remaining future benefit.

Question 12

Match the following terms the appropriate defintion.
-Cost
A)A cash outflow
B)A resource sacrificed to bring benefit in current period; no remaining future benefit
C)A measure of a resource being sacrificed; includes assets and expenses.
D)Costs already incurred in the past
E)Net benefit of paths not taken in decision-making
F)Resource with future benefits

Accepted Answer

Cost is a measure of a resource being sacrificed, which includes both assets and expenses.

Question 13

Window Wizards Manufacturing's information is presented below for the current month:  Compute the total current assets for Window Wizards Manufacturing.

Accepted Answer

The answer of Window Wizards Manufacturing's information is presented below...

Question 14

Bestco Products has total inventory balances of $330,000. If 1/6 of the balance reflects goods that are completed and ready for sale, and 3/6 represents materials not yet placed into production, what are the balances in each of the three inventory categories for this manufacturer?

Accepted Answer

The answer of Bestco Products has total inventory balances of...

Question 15

If Midwest Plastics has a Gross Margin of $68,000, Finished Goods Inventory (beginning)of $26,000, Sales Revenues of $193,000, Operating Expenses of $52,000, and Finished Goods Inventory (ending) of $38,000. What is Midwest Plastics' Cost of Goods Sold?

Accepted Answer

The answer of If Midwest Plastics has a Gross Margin...

Question 16

Given the following items listed below, identify on which type(s) of business financial statements these items would normally appear , More than one selection may be included in an answer.
-Raw Materials Inventory
A) Service Provider
B) Merchandiser
C) Manufacturer.

Accepted Answer

Raw Materials Inventory typically appears on the financial statements of a Manufacturer, as they use raw materials to produce finished goods.

Question 17

Given the following items listed below, identify on which type(s) of business financial statements these items would normally appear , More than one selection may be included in an answer.
-Operating Expenses
A) Service Provider
B) Merchandiser
C) Manufacturer.

Accepted Answer

Operating expenses appear on the financial statements of all types of businesses, including service providers, merchandisers, and manufacturers, as they represent the costs incurred in the normal course of operations.

Question 18

Given the following items listed below, identify on which type(s) of business financial statements these items would normally appear , More than one selection may be included in an answer.
-Cost of Goods Sold
A) Service Provider
B) Merchandiser
C) Manufacturer.

Accepted Answer

Cost of Goods Sold is an expense account that is typically found on the income statement of merchandising and manufacturing companies.

Question 19

Given the following items listed below, identify on which type(s) of business financial statements these items would normally appear , More than one selection may be included in an answer.
-Finished Goods Inventory
A) Service Provider
B) Merchandiser
C) Manufacturer.

Accepted Answer

The answer of Given the following items listed below, identify...

Question 20

Given the following items listed below, identify on which type(s) of business financial statements these items would normally appear , More than one selection may be included in an answer.
-Gross Margin
A) Service Provider
B) Merchandiser
C) Manufacturer.

Accepted Answer

Gross Margin typically appears on the financial statements of Merchandisers and Manufacturers, as it represents the difference between sales revenue and the cost of goods sold, which is relevant to businesses that sell physical products.

Quiz 2: Refresher on Cost Terms Road Map

Nyce Vending has the following information for the current fiscal year: The Sales for Nyce Vending are

Harper's Hunting and Fishing has the following information for the current fiscal year: The Sales for Harper's Hunting and Fishing are

The following transactions occurred during the month of April for Nico's Nursery: Determined the total expenses, total assets and total expenditures for Nico's Nursery for April.

Carnival Cruises breaks down its revenue and cost information for the year ended 2022 as follows: Perform vertical analysis for the income statement for Carnival Cruises. (Round to nearest whole percentage)

Given the following information for C & J, Inc. identify where the items will be classified (asset or expense, or not reported) and on which financial statement the items will reported (income statement, balance sheet, or N/A).

Match the following terms the appropriate defintion. -Opportunity Cost

Match the following terms the appropriate defintion. -Sunk Cost

Match the following terms the appropriate defintion. -Expenditure

Match the following terms the appropriate defintion. -Asset

Match the following terms the appropriate defintion. -Expense

Match the following terms the appropriate defintion. -Cost

Window Wizards Manufacturing's information is presented below for the current month: Compute the total current assets for Window Wizards Manufacturing.

Bestco Products has total inventory balances of $330,000. If 1/6 of the balance reflects goods that are completed and ready for sale, and 3/6 represents materials not yet placed into production, what are the balances in each of the three inventory categories for this manufacturer?

If Midwest Plastics has a Gross Margin of $68,000, Finished Goods Inventory (beginning)of $26,000, Sales Revenues of $193,000, Operating Expenses of $52,000, and Finished Goods Inventory (ending) of $38,000. What is Midwest Plastics' Cost of Goods Sold?

Given the following items listed below, identify on which type(s) of business financial statements these items would normally appear , More than one selection may be included in an answer. -Raw Materials Inventory

Given the following items listed below, identify on which type(s) of business financial statements these items would normally appear , More than one selection may be included in an answer. -Operating Expenses

Given the following items listed below, identify on which type(s) of business financial statements these items would normally appear , More than one selection may be included in an answer. -Cost of Goods Sold

Given the following items listed below, identify on which type(s) of business financial statements these items would normally appear , More than one selection may be included in an answer. -Finished Goods Inventory

Given the following items listed below, identify on which type(s) of business financial statements these items would normally appear , More than one selection may be included in an answer. -Gross Margin