©NINJANERD 2024/2025. YEAR PUBLISHED 2024.
Accounting 202 Final Exam Questions
and Answers 100% Solved
When activity based costing is used for internal decision making, the cost
of idle capacity should be assigned to products. - ✔✔False, it shouldn't be
assigned.
Which of the following statements is NOT correct concerning the cash
budget?
a. It is not necessary to prepare any other budgets before preparing the
cash budget.
b. The cash budget should be prepared before the budgeted income
statement.
c. The cash budget should be prepared before the budgeted balance sheet.
d. The cash budget builds on earlier budgets and schedules as well as
additional data. - ✔✔a. It is not necessary to prepare any other budgets
before preparing the cash budget.
,©NINJANERD 2024/2025. YEAR PUBLISHED 2024.
Hamitor Framing's cost formula for its supplies cost is $1,640 per month
plus $9 per frame. For the month of August, the company planned for
activity of 572 frames, but the actual level was 573 frames. The actual
supplies cost for the month was $7,080. The supplies cost in the planning
budget for August would be closest to:
a. $7,080
b. $7,068
c. $6,788
d. $6,797 - ✔✔c. $6,788
1,640 + (9 x 572) = $6,788
Using the ABC system, how much total MOH would be assigned to product
T05P?
Machining Machine Hours $180,000 9,000 MH's
Machine setups # of setups $125,000 250 setups
Product Design # of products $44,000 2 products
General Factory DLH's $260,000 10,000 DLH's
, ©NINJANERD 2024/2025. YEAR PUBLISHED 2024.
a. $156,000
b. $303,000
c. $147,000
d. $304,500 - ✔✔b. $303,000
Machining 180,000/9,000 = 20 MH x 4,000 =
Machine setups 125,000/250 = 500 setups x 90
Product Setup 44,000/2 = 27,000 products x 1
General Factory 260,000/10,000 = 26 per DLH x 6 = $303,000
Elliot corporation makes and sells a single product. Last period the
company labor rate variance was $14,400 U. During the period, the
company worked 36,000 actual Direct Labor Hours at an actual cost of
$338,400. The standard labor rate for the product in dollars per hour is:
a. $9.40
b. $9.00
c. $8.50
d. $8.10 - ✔✔b. $9.00
$338,400 - 14,400 = 324,000
Accounting 202 Final Exam Questions
and Answers 100% Solved
When activity based costing is used for internal decision making, the cost
of idle capacity should be assigned to products. - ✔✔False, it shouldn't be
assigned.
Which of the following statements is NOT correct concerning the cash
budget?
a. It is not necessary to prepare any other budgets before preparing the
cash budget.
b. The cash budget should be prepared before the budgeted income
statement.
c. The cash budget should be prepared before the budgeted balance sheet.
d. The cash budget builds on earlier budgets and schedules as well as
additional data. - ✔✔a. It is not necessary to prepare any other budgets
before preparing the cash budget.
,©NINJANERD 2024/2025. YEAR PUBLISHED 2024.
Hamitor Framing's cost formula for its supplies cost is $1,640 per month
plus $9 per frame. For the month of August, the company planned for
activity of 572 frames, but the actual level was 573 frames. The actual
supplies cost for the month was $7,080. The supplies cost in the planning
budget for August would be closest to:
a. $7,080
b. $7,068
c. $6,788
d. $6,797 - ✔✔c. $6,788
1,640 + (9 x 572) = $6,788
Using the ABC system, how much total MOH would be assigned to product
T05P?
Machining Machine Hours $180,000 9,000 MH's
Machine setups # of setups $125,000 250 setups
Product Design # of products $44,000 2 products
General Factory DLH's $260,000 10,000 DLH's
, ©NINJANERD 2024/2025. YEAR PUBLISHED 2024.
a. $156,000
b. $303,000
c. $147,000
d. $304,500 - ✔✔b. $303,000
Machining 180,000/9,000 = 20 MH x 4,000 =
Machine setups 125,000/250 = 500 setups x 90
Product Setup 44,000/2 = 27,000 products x 1
General Factory 260,000/10,000 = 26 per DLH x 6 = $303,000
Elliot corporation makes and sells a single product. Last period the
company labor rate variance was $14,400 U. During the period, the
company worked 36,000 actual Direct Labor Hours at an actual cost of
$338,400. The standard labor rate for the product in dollars per hour is:
a. $9.40
b. $9.00
c. $8.50
d. $8.10 - ✔✔b. $9.00
$338,400 - 14,400 = 324,000
