WGU D196 UNIT TEST + COHORT+ PA QUESTIONS
WITH CORRECT ANSWERS
1 of 160
Definition
Activity-based costing
Give this one a try later!
Your company has products such as generic, simple to custom-designed,
complex. The company currently uses a traditional method to allocate
overhead. You believe the overhead is not being properly allocated to the
products and think a different method should be implemented using direct
labor hours as the basis. Which type of costing system should the company
use instead?
A retail company purchased inventory costing $100,000. By the end of the year,
inventory costing $75,000 had been sold. How is the remaining $25,000 in inventory
reported in the financial statements?
, A company borrowed $80,000 cash from a bank. How does this transaction affect
the accounting equation of the borrowing company?
A company reports these data:
Total sales revenue = $250,000
Number of units sold = 50,000 units
Variable costs = $100,000
If the company is operating at its break-even point, what is the company's total
contribution margin?
Don't know?
2 of 160
Term
On which financial statement do we see a company expenses ?
Give this one a try later!
Petroleum refining plant Income Statement
Paying employees Cost of goods sold
Don't know?
3 of 160
Definition
,Product cost include expenses directly tied to the product of goods,
such as direct materials, direct labor , manufacturing overhead while
period cost are incurred over specific time periods and expensed in
the period they are incurred.
Give this one a try later!
Depreciation on office copy machine
Which group establishes financial accounting rules in the United States?
What statement accurately differentiates period costs from product costs?
At the end of September a company has finished goods inventory of 5,000 units.
They have the desired amount of ending inventory of 2,000 units. What additional
information is needed in order to compute budgeted production for October?
Don't know?
4 of 160
Definition
Sales, production, direct materials
Give this one a try later!
, What is the sequence of the flow of
what is the correct sequence of
costs through a manufacturing
budgets for the master budget?
operation?
What budget uses the rate of pay for
What is the CVP equation?
assembly line workers?
Don't know?
5 of 160
Term
Which cost category is not formally tracked in a company's accounting
system?
Give this one a try later!
Cost of goods sold Statement of cash flows
product cost Opportunity costs
Don't know?
WITH CORRECT ANSWERS
1 of 160
Definition
Activity-based costing
Give this one a try later!
Your company has products such as generic, simple to custom-designed,
complex. The company currently uses a traditional method to allocate
overhead. You believe the overhead is not being properly allocated to the
products and think a different method should be implemented using direct
labor hours as the basis. Which type of costing system should the company
use instead?
A retail company purchased inventory costing $100,000. By the end of the year,
inventory costing $75,000 had been sold. How is the remaining $25,000 in inventory
reported in the financial statements?
, A company borrowed $80,000 cash from a bank. How does this transaction affect
the accounting equation of the borrowing company?
A company reports these data:
Total sales revenue = $250,000
Number of units sold = 50,000 units
Variable costs = $100,000
If the company is operating at its break-even point, what is the company's total
contribution margin?
Don't know?
2 of 160
Term
On which financial statement do we see a company expenses ?
Give this one a try later!
Petroleum refining plant Income Statement
Paying employees Cost of goods sold
Don't know?
3 of 160
Definition
,Product cost include expenses directly tied to the product of goods,
such as direct materials, direct labor , manufacturing overhead while
period cost are incurred over specific time periods and expensed in
the period they are incurred.
Give this one a try later!
Depreciation on office copy machine
Which group establishes financial accounting rules in the United States?
What statement accurately differentiates period costs from product costs?
At the end of September a company has finished goods inventory of 5,000 units.
They have the desired amount of ending inventory of 2,000 units. What additional
information is needed in order to compute budgeted production for October?
Don't know?
4 of 160
Definition
Sales, production, direct materials
Give this one a try later!
, What is the sequence of the flow of
what is the correct sequence of
costs through a manufacturing
budgets for the master budget?
operation?
What budget uses the rate of pay for
What is the CVP equation?
assembly line workers?
Don't know?
5 of 160
Term
Which cost category is not formally tracked in a company's accounting
system?
Give this one a try later!
Cost of goods sold Statement of cash flows
product cost Opportunity costs
Don't know?
