ACC 241 ASU Geiger Exam 1
Questions and Answers 100%
Correct
Managerial Accounting - ANSWER - 1. Internally focused
2. No mandatory rules
3. Financial and nonfinancial info, subjective info possible
4. Emphasis on future
5. Internal evaluation based on detailed info
6. Broad, multidisciplinary
Least-Squares Regression Method - ANSWER - y = vX + f
(in coefficients)
X Variable 1 = Variable cost per unit
Intercept = f (fixed cost)
R squared is how fitting the data is 1.0-.8 is good, .8-.2 is questionable, .2-.0 is not
correlating?
Calculating Adjusted COGS - ANSWER - Over and under applied necessary, over you
subtract and under you add difference
Financial Accounting - ANSWER - 1. Externally focused
2. Must follow externally imposed rules
3. Objective financial info
4. Historically oriented
5. Info about the firm as a whole
6. More self-contained
, Cost is a(n): - ANSWER - asset, if the benefit exceeds one accounting period
expense, if benefit is consumed within one accounting period
Direct cost - ANSWER - Costs that can be easily and conveniently traced to a unit of
product or other cost objects
Indirect cost - ANSWER - Costs that supports more than one cost object--must be
allocated to be assigned to a unit of product or other cost object
Product cost - ANSWER - Costs associated with making the products available and
ready to sell.
Included as inventory on the balance sheet until sold, then it is expensed on an
income statement as COGS
High-Low Method - ANSWER - high cost - low cost / high activity - low activity =
VCpU
Contribution Margin Income Statement - ANSWER - Variable Expenses (VE) =
activity level (x) x VCpU
Fixed Expenses = f
Contribution margin/sales % = 1 - (VE / Sales)
Period cost - ANSWER - Costs that are not product costs such as selling costs or
administrative.
Expensed on an income statement when incurred.
Raw Materials Inventory - ANSWER -
Questions and Answers 100%
Correct
Managerial Accounting - ANSWER - 1. Internally focused
2. No mandatory rules
3. Financial and nonfinancial info, subjective info possible
4. Emphasis on future
5. Internal evaluation based on detailed info
6. Broad, multidisciplinary
Least-Squares Regression Method - ANSWER - y = vX + f
(in coefficients)
X Variable 1 = Variable cost per unit
Intercept = f (fixed cost)
R squared is how fitting the data is 1.0-.8 is good, .8-.2 is questionable, .2-.0 is not
correlating?
Calculating Adjusted COGS - ANSWER - Over and under applied necessary, over you
subtract and under you add difference
Financial Accounting - ANSWER - 1. Externally focused
2. Must follow externally imposed rules
3. Objective financial info
4. Historically oriented
5. Info about the firm as a whole
6. More self-contained
, Cost is a(n): - ANSWER - asset, if the benefit exceeds one accounting period
expense, if benefit is consumed within one accounting period
Direct cost - ANSWER - Costs that can be easily and conveniently traced to a unit of
product or other cost objects
Indirect cost - ANSWER - Costs that supports more than one cost object--must be
allocated to be assigned to a unit of product or other cost object
Product cost - ANSWER - Costs associated with making the products available and
ready to sell.
Included as inventory on the balance sheet until sold, then it is expensed on an
income statement as COGS
High-Low Method - ANSWER - high cost - low cost / high activity - low activity =
VCpU
Contribution Margin Income Statement - ANSWER - Variable Expenses (VE) =
activity level (x) x VCpU
Fixed Expenses = f
Contribution margin/sales % = 1 - (VE / Sales)
Period cost - ANSWER - Costs that are not product costs such as selling costs or
administrative.
Expensed on an income statement when incurred.
Raw Materials Inventory - ANSWER -
