WGU D101 COST AND MANAGERIAL
ACCOUNTING PA COMPREHENSIVE COURSE
REVIEW
◉ Applied Manufacturing Overhead.
Answer: The amount of the manufacturing overhead that is assigned
to the goods produced; this is usually done by using a
predetermined annual overhead rate
◉ Batch-level Activities.
Answer: Activities that take place to support a batch or production
run, regardless of the size of the batch
◉ Beginning Work-in-process Inventory.
Answer: The ending-work-in-process inventory that is carried over
from the last accounting period to the current accounting period
◉ Break-even Point.
Answer: The amount of sales at which total costs of the number of
units sold equal total revenues; the point at which there is no profit
or loss
◉ Budgeted Production in Units.
,Answer: The budgeted number of units to be produced in a period,
taking into consideration the sales volume, the number of units in
beginning inventory, and the number of units required to be in
ending inventory
◉ Budgeted Sales in Dollars.
Answer: The result when the budgeted sales in units is multiplied by
the unit sales prices for each product budgeted to be sold in the
budget for the next year or the next period
◉ Budgeted Sales in Units.
Answer: Information in the sales budget that feeds directly into the
production budget, from which the direct materials and direct labor
budgets are created
◉ Common Costs.
Answer: Overhead costs like executive salaries or property taxes
that cannot be attributed to and are not the responsibility of specific
products, departments, or business segments
◉ Contribution Margin.
Answer: The difference between total sales and variable costs; the
portion of sales revenue available to cover fixed costs and provide a
profit
, ◉ Contribution Margin Ratio.
Answer: The percentage of net sales revenue left after variable costs
are deducted; the contribution margin divided by net sales revenue
◉ Conversion Costs.
Answer: The costs of converting raw materials to finished products;
these include direct labor and manufacturing overhead costs
◉ Cost Behavior.
Answer: The way a cost is affected by changes in activity levels
◉ Cost Driver.
Answer: Numerical measure used to reflect the amount of a specific
cost associated with a particular activity
◉ Cost Objects.
Answer: A product or division for which costs are accumulated and
tracked
◉ Cost Pool.
Answer: Total cost being generated by a specific overhead cost
activity
ACCOUNTING PA COMPREHENSIVE COURSE
REVIEW
◉ Applied Manufacturing Overhead.
Answer: The amount of the manufacturing overhead that is assigned
to the goods produced; this is usually done by using a
predetermined annual overhead rate
◉ Batch-level Activities.
Answer: Activities that take place to support a batch or production
run, regardless of the size of the batch
◉ Beginning Work-in-process Inventory.
Answer: The ending-work-in-process inventory that is carried over
from the last accounting period to the current accounting period
◉ Break-even Point.
Answer: The amount of sales at which total costs of the number of
units sold equal total revenues; the point at which there is no profit
or loss
◉ Budgeted Production in Units.
,Answer: The budgeted number of units to be produced in a period,
taking into consideration the sales volume, the number of units in
beginning inventory, and the number of units required to be in
ending inventory
◉ Budgeted Sales in Dollars.
Answer: The result when the budgeted sales in units is multiplied by
the unit sales prices for each product budgeted to be sold in the
budget for the next year or the next period
◉ Budgeted Sales in Units.
Answer: Information in the sales budget that feeds directly into the
production budget, from which the direct materials and direct labor
budgets are created
◉ Common Costs.
Answer: Overhead costs like executive salaries or property taxes
that cannot be attributed to and are not the responsibility of specific
products, departments, or business segments
◉ Contribution Margin.
Answer: The difference between total sales and variable costs; the
portion of sales revenue available to cover fixed costs and provide a
profit
, ◉ Contribution Margin Ratio.
Answer: The percentage of net sales revenue left after variable costs
are deducted; the contribution margin divided by net sales revenue
◉ Conversion Costs.
Answer: The costs of converting raw materials to finished products;
these include direct labor and manufacturing overhead costs
◉ Cost Behavior.
Answer: The way a cost is affected by changes in activity levels
◉ Cost Driver.
Answer: Numerical measure used to reflect the amount of a specific
cost associated with a particular activity
◉ Cost Objects.
Answer: A product or division for which costs are accumulated and
tracked
◉ Cost Pool.
Answer: Total cost being generated by a specific overhead cost
activity
