ACTY 2110 QUESTIONS WITH VERIFIED ACCURATE
ANSWERS
Identifying five college campuses to serve as test markets. - Answers -planning
setting the goal of $1 millions in annual sales by the year 2018. - Answers -planning
Hiring workers for the manufacturing facility - Answers -implementing
overseeing the production and shipment of The Campus Court - Answers -
implementing
Preparing one-, three-, and five-year budgets that detail the necessary resources and
costs that will be incurred to meet the projected sales forecasts. - Answers -planning
Deciding which new markets to expand into based on the first year's sales results. -
Answers -controlling
Implementing a bonus system to reward employees for meeting sales and production
goals. - Answers -implementing
Deciding to spend more advertising dollars in regions where sales were slower than
expected. - Answers -controlling
factory equipment depreciation - Answers -manufacturing overhead and Fixed cost
Factory supervisor salary - Answers -manufacturing overhead ; fixed cost
factory utilities - Answers -manufacturing overhead ; variable cost; product
Factory insurance - Answers -manufacturing overhead ; fixed cost
furniture assembler wages - Answers -product; direct labor ; variable cost
furniture lumber - Answers -direct materials ; variable cost
factory property taxes - Answers -management overhead ; fixed cost
direct materials + direct labor = - Answers -prime costs
direct labor + manufacturing overhead - Answers -conversion cost
direct materials + direct labor + manufacturing overhead - Answers -total manufacturing
costs
, Factory rent - Answers -product; MOH; fixed
Company advertising - Answers -period; fixed
Depreciation on salespersons' cars - Answers -period cost ; fixed
screws - Answers -product; MOH ; variable
presidents salary - Answers -period ; fixed
sales commission - Answers -period ; variable
Manufacturing Overhead - Answers -direct labor x rate
Cost of Goods Manufactured - Answers -total current manufacturing costs + beg. work
in process - ending work in process
Cost of goods sold - Answers -cost of goods manufactures+beg. finished inventory -
ending finished inventory
beg. work in process inventory - Answers -end work in process inventory - total current
manufacturing cost + COG manufactured
ending finished goods inventory - Answers -beg finished goods inventory + COGM -
COGS
find direct labor with out knowing Manufacturing overhead applied - Answers -1.
conversion cost = total current Manufacturing cost - direct materials
2. conversion cost / 1 + (rate/100) = direct labor
Predetermined Overhead Rate - Answers -estimated total manufacturing overhead
cost/estimated number of machine hours
Applied Manufacturing Overhead - Answers -rate x actual hours
underapplied overhead - Answers -Actual Overhead - Applied Overhead
Actual Manufacturing Overhead - Answers -all indirect cost except general and
administrative salaries and selling expenses
direct materials when given raw materials - Answers -Beg. Raw Materials inventory +
Raw Materials purchased - indirect materials - ending raw materials
applied overhead when given raw materials - Answers -direct labor x overhead rate
ANSWERS
Identifying five college campuses to serve as test markets. - Answers -planning
setting the goal of $1 millions in annual sales by the year 2018. - Answers -planning
Hiring workers for the manufacturing facility - Answers -implementing
overseeing the production and shipment of The Campus Court - Answers -
implementing
Preparing one-, three-, and five-year budgets that detail the necessary resources and
costs that will be incurred to meet the projected sales forecasts. - Answers -planning
Deciding which new markets to expand into based on the first year's sales results. -
Answers -controlling
Implementing a bonus system to reward employees for meeting sales and production
goals. - Answers -implementing
Deciding to spend more advertising dollars in regions where sales were slower than
expected. - Answers -controlling
factory equipment depreciation - Answers -manufacturing overhead and Fixed cost
Factory supervisor salary - Answers -manufacturing overhead ; fixed cost
factory utilities - Answers -manufacturing overhead ; variable cost; product
Factory insurance - Answers -manufacturing overhead ; fixed cost
furniture assembler wages - Answers -product; direct labor ; variable cost
furniture lumber - Answers -direct materials ; variable cost
factory property taxes - Answers -management overhead ; fixed cost
direct materials + direct labor = - Answers -prime costs
direct labor + manufacturing overhead - Answers -conversion cost
direct materials + direct labor + manufacturing overhead - Answers -total manufacturing
costs
, Factory rent - Answers -product; MOH; fixed
Company advertising - Answers -period; fixed
Depreciation on salespersons' cars - Answers -period cost ; fixed
screws - Answers -product; MOH ; variable
presidents salary - Answers -period ; fixed
sales commission - Answers -period ; variable
Manufacturing Overhead - Answers -direct labor x rate
Cost of Goods Manufactured - Answers -total current manufacturing costs + beg. work
in process - ending work in process
Cost of goods sold - Answers -cost of goods manufactures+beg. finished inventory -
ending finished inventory
beg. work in process inventory - Answers -end work in process inventory - total current
manufacturing cost + COG manufactured
ending finished goods inventory - Answers -beg finished goods inventory + COGM -
COGS
find direct labor with out knowing Manufacturing overhead applied - Answers -1.
conversion cost = total current Manufacturing cost - direct materials
2. conversion cost / 1 + (rate/100) = direct labor
Predetermined Overhead Rate - Answers -estimated total manufacturing overhead
cost/estimated number of machine hours
Applied Manufacturing Overhead - Answers -rate x actual hours
underapplied overhead - Answers -Actual Overhead - Applied Overhead
Actual Manufacturing Overhead - Answers -all indirect cost except general and
administrative salaries and selling expenses
direct materials when given raw materials - Answers -Beg. Raw Materials inventory +
Raw Materials purchased - indirect materials - ending raw materials
applied overhead when given raw materials - Answers -direct labor x overhead rate
