ACC 241 – Managerial & Cost Accounting Exam Questions and Answers | Process Costing, CVP, Breakeven Analysis (Verified)

Description: This document provides a verified and updated collection of exam questions and answers. It covers essential managerial and cost accounting topics including process costing, contribution margin analysis, breakeven calculations, cost behavior, CVP analysis, fixed and variable costs, and decision-making tools such as outsourcing, special orders, and relevant costing. The material is structured to help students prepare thoroughly for exams and strengthen their understanding of key accounting principles. If all direct materials are added at the end of the production process, and the units have made it 50% of the way through the production process, then the percentage completion for direct materials is - answer0% Flying High Manufacturing produces frisbees using a threeminus step sequential process that includes molding, coloring and finishing. When the frisbees and associated costs are transferred from Page1 the molding process to the coloring process, which account is credited? - answerWIP Inventory-Molding During a period, 39,200 units were completed and 5,000 units were in ending WIP Inventory. Ending WIP was 50%complete for direct materials and 50% complete for conversion costs. What are the equivalent units for direct materials? - answer41700 A transfer of $30,000 from the assembly department to the packaging department would require the entry of a - answerCredit to WIP Inventory-Assembly Process costing would likely be used by which of the following? - answerPepsiCo Perfect Pigments has 2,900 gallons of paint in WIP Inventory, with 72% of materials already added. The paint is 40% through the process. Assuming all conversion costs are added evenly throughout the process, what are the equivalent units for conversion costs? - answer1,160 In a process system with multiple processes, the cost of units completed in Department One is transferred to - answerWIP in Department Two Which of the following is the first step of the 5-step process costing procedure? - answerSummarize the flow of physical units Yummy Tummy Desserts has 2,600 quarts of ice cream in WIP Inventory, with all materials already added. The ice cream is 72%through the process. Assuming all conversion costs are added evenly throughout the process, what are the equivalent units for conversion costs? - answer1,872 Baxter Company produces children's wiffle ball sets using a threeminus step sequential process that includes molding, coloring and finishing. When the sets are completely finished, out of which account should the cost be Page2 transferred? - answerWIP Inventory Finishing If 130,000 units are produced, total costs are $333,000. Total fixed costs for Blue Peace Inc. are $145,000. The variable cost per unit is - answer$1.45/unit Which of the following costs is an example of a fixed cost? - answerSalary of plant manager The data points with the ________ should be selected for use in calculating the variable cost per unit and the total fixed costs when using the high-low method. - answerhighest volume and the lowest volume. Pelicans Ice is a snow cone stand near the local park. To plan for the future, Pelicans Ice wants to determine its cost behavior patterns. It has the following information available about its operating costs and the number of snow cones served. Month Number of snow cones Total operating costs January 6,400 $5,980 February 7,000 $6,400 March 6,200 $5,740 April 6,900 $6,330 May 8,100 $7,320 June 7,250 $6,575 - answer$0.83 Which of the following would be considered a discretionary fixed cost? - answerAdvertising Variable costs are described by which of the following statements? - answerThey are fixed per unit and vary in total Using account analysis, what type of cost is a community activity pass that costs $80 plus $15.00 per event? - answerMixed Best Birdies produces ornate birdcages. The company's average cost per unit is $22 when it produces 2,700 birdcages. If $5,700 of the costs are fixed, and the plant manager uses the cost equation to predict total costs, his forecast for 3,500 birdcages will be -