Managerial Accounting Exam 1 Wiley plus Questions
With 100% Correct Answers 2024
Which one of the following does not appear on the balance sheet of a manufacturing company?
Finished goods inventory
Work in process inventory
Raw materials inventory
Cost of goods manufactured - Correct Answer--Cost of goods manufactured
The wages of a timekeeper in the factory would be classified as
a period cost.
direct labor.
indirect labor.
compliance costs. - Correct Answer--indirect labor.
Managerial accounting applies to each of the following types of businesses except
managerial accounting applies to all types of firms.
,service firms.
merchandising firms.
manufacturing firms. - Correct Answer--managerial accounting applies to all types of firms.
Managerial accounting applies to all forms of business organizations.
True
False - Correct Answer--True
Direct materials and direct labor are the only product costs.
True
False - Correct Answer--False
Which one of the following is not a direct material?
Plastic used in the covered case for a home PC
Steel used in the manufacturing of steel-radial tires
A tire used for a lawn mower
,Lubricant for a ball-bearing joint for a large crane - Correct Answer--Lubricant for a ball-bearing joint for a large
crane
Because of automation, which component of product cost is declining?
Advertising
Direct materials
Direct labor
Manufacturing overhead - Correct Answer--Direct labor
Management accountants would not
assist in budget planning.
prepare reports primarily for external users.
determine cost behavior.
be concerned with the impact of cost and volume on profits. - Correct Answer--prepare reports primarily for external
users.
Determining the unit cost of manufacturing a product is an output of financial accounting.
True
, False - Correct Answer--False
When the physical association of raw materials with the finished product is too small to trace in terms of cost, they
are usually classified as indirect materials.
True
False - Correct Answer--True
Which of the following are period costs?
Selling expenses
Raw materials
Direct materials and direct labor
Direct labor and manufacturing overhead - Correct Answer--Selling expenses
Raw materials inventory shows the cost of completed goods available for sale to customers.
True
False - Correct Answer--False
With 100% Correct Answers 2024
Which one of the following does not appear on the balance sheet of a manufacturing company?
Finished goods inventory
Work in process inventory
Raw materials inventory
Cost of goods manufactured - Correct Answer--Cost of goods manufactured
The wages of a timekeeper in the factory would be classified as
a period cost.
direct labor.
indirect labor.
compliance costs. - Correct Answer--indirect labor.
Managerial accounting applies to each of the following types of businesses except
managerial accounting applies to all types of firms.
,service firms.
merchandising firms.
manufacturing firms. - Correct Answer--managerial accounting applies to all types of firms.
Managerial accounting applies to all forms of business organizations.
True
False - Correct Answer--True
Direct materials and direct labor are the only product costs.
True
False - Correct Answer--False
Which one of the following is not a direct material?
Plastic used in the covered case for a home PC
Steel used in the manufacturing of steel-radial tires
A tire used for a lawn mower
,Lubricant for a ball-bearing joint for a large crane - Correct Answer--Lubricant for a ball-bearing joint for a large
crane
Because of automation, which component of product cost is declining?
Advertising
Direct materials
Direct labor
Manufacturing overhead - Correct Answer--Direct labor
Management accountants would not
assist in budget planning.
prepare reports primarily for external users.
determine cost behavior.
be concerned with the impact of cost and volume on profits. - Correct Answer--prepare reports primarily for external
users.
Determining the unit cost of manufacturing a product is an output of financial accounting.
True
, False - Correct Answer--False
When the physical association of raw materials with the finished product is too small to trace in terms of cost, they
are usually classified as indirect materials.
True
False - Correct Answer--True
Which of the following are period costs?
Selling expenses
Raw materials
Direct materials and direct labor
Direct labor and manufacturing overhead - Correct Answer--Selling expenses
Raw materials inventory shows the cost of completed goods available for sale to customers.
True
False - Correct Answer--False
