IU A100 Exam 1 EXAM, comprehensive questions and verified answers ||
QUESTIONS WITH ACCURATE ANSWERS | GET IT RIGHT |!
Managerial Accounting - (answer)accounting used to provide information and analyses to managers
inside the organization to assist them in decision making
What three categories go into Product Costs? - (answer)1. Direct Materials-raw materials that go directly
into the product
2. Direct Labor-all wages and benefits for employees working on the product
3. Manufacturing Overhead-utilities, insurance
What are examples of Period Costs? - (answer)1. selling expenses-advertising, marketing
Three Inventory Accounts - (answer)raw materials, work in process, finished goods
Fixed Costs - (answer)stay the same in total regardless of the volume produced
Example: fixed amount of rent
Variable Costs - (answer)move exactly with level of production
Example: more production can occur to buy in bulk
The Contribution Margin - (answer)Sales
- Variable Costs
___________________________
CM
- FC
___________________________
Net Income
QUESTIONS WITH ACCURATE ANSWERS | GET IT RIGHT |!
Managerial Accounting - (answer)accounting used to provide information and analyses to managers
inside the organization to assist them in decision making
What three categories go into Product Costs? - (answer)1. Direct Materials-raw materials that go directly
into the product
2. Direct Labor-all wages and benefits for employees working on the product
3. Manufacturing Overhead-utilities, insurance
What are examples of Period Costs? - (answer)1. selling expenses-advertising, marketing
Three Inventory Accounts - (answer)raw materials, work in process, finished goods
Fixed Costs - (answer)stay the same in total regardless of the volume produced
Example: fixed amount of rent
Variable Costs - (answer)move exactly with level of production
Example: more production can occur to buy in bulk
The Contribution Margin - (answer)Sales
- Variable Costs
___________________________
CM
- FC
___________________________
Net Income
