©THEBRIGHTSTARS 2024
ACCT 2102 UGA, Amanda Farmer, Exam 1
Questions With Revised Answers
Financial and Managerial Accounting differ in - answer✔✔Rules, Time Focus, Users, Output,
and Preparers
Managerial Accounting has no guiding set of rules - answer✔✔True
Financial Accounting is focused on ___________, while Managerial Accounting is focused on
____________ - answer✔✔The Past
The Future
Financial Accountants prepare journals for ______________, while Managerial Accountants
prepare journals for ______________ - answer✔✔External Users
Internal Users
Financial Accountants prepare journals for _______________, while Managerial Accountants
prepare journals for ________________ - answer✔✔Financial Statements
Whatever the Business Needs
Profit - answer✔✔Revenue - Expenses
Costs are Incurred Along - answer✔✔The Value Chain
Value Chain - answer✔✔Research and Development, Design, Production/Purchase, Marketing,
Distribution, and Customer Service
Differentiating Link - answer✔✔Production/Purchase
Expense - answer✔✔The incurring of a cost
How do Costs Impact Revenue? - answer✔✔A company must gauge how much something costs
to make the price, as well as look at competitors' prices
, ©THEBRIGHTSTARS 2024
Costs Determine Price, Price Determines Revenue
Costs Should Only Be Incurred If They - answer✔✔Add Value
Service - answer✔✔-Provides a service, nothing tangible
-No production/purchase
Merchandiser - answer✔✔-Sells merchandise, tangible products
-Purchasing link
Manufacturer - answer✔✔-Makes and sells a tangible product
-Production link
Cost Object - answer✔✔The thing we want to know the cost of
Period Costs - answer✔✔Impact profit in the period where they're incurred and go straight to the
income statement
R&D, Design, Marketing, Distribution, and Customer Support
Product Cost - answer✔✔Any cost incurred as a merchandiser to get the product ready for sale
Production and Purchase
Cost (Merchandiser Example):
1. Shipping product from supplier to retail location
2. Phone expenses related to securing new suppliers
3. Dollar amount of inventory purchases from supplies
4. Import duties/taxes on purchases
ACCT 2102 UGA, Amanda Farmer, Exam 1
Questions With Revised Answers
Financial and Managerial Accounting differ in - answer✔✔Rules, Time Focus, Users, Output,
and Preparers
Managerial Accounting has no guiding set of rules - answer✔✔True
Financial Accounting is focused on ___________, while Managerial Accounting is focused on
____________ - answer✔✔The Past
The Future
Financial Accountants prepare journals for ______________, while Managerial Accountants
prepare journals for ______________ - answer✔✔External Users
Internal Users
Financial Accountants prepare journals for _______________, while Managerial Accountants
prepare journals for ________________ - answer✔✔Financial Statements
Whatever the Business Needs
Profit - answer✔✔Revenue - Expenses
Costs are Incurred Along - answer✔✔The Value Chain
Value Chain - answer✔✔Research and Development, Design, Production/Purchase, Marketing,
Distribution, and Customer Service
Differentiating Link - answer✔✔Production/Purchase
Expense - answer✔✔The incurring of a cost
How do Costs Impact Revenue? - answer✔✔A company must gauge how much something costs
to make the price, as well as look at competitors' prices
, ©THEBRIGHTSTARS 2024
Costs Determine Price, Price Determines Revenue
Costs Should Only Be Incurred If They - answer✔✔Add Value
Service - answer✔✔-Provides a service, nothing tangible
-No production/purchase
Merchandiser - answer✔✔-Sells merchandise, tangible products
-Purchasing link
Manufacturer - answer✔✔-Makes and sells a tangible product
-Production link
Cost Object - answer✔✔The thing we want to know the cost of
Period Costs - answer✔✔Impact profit in the period where they're incurred and go straight to the
income statement
R&D, Design, Marketing, Distribution, and Customer Support
Product Cost - answer✔✔Any cost incurred as a merchandiser to get the product ready for sale
Production and Purchase
Cost (Merchandiser Example):
1. Shipping product from supplier to retail location
2. Phone expenses related to securing new suppliers
3. Dollar amount of inventory purchases from supplies
4. Import duties/taxes on purchases
