ACCT 212 Exam #1 Study Guide Actual
set with Questions and correct/verified
Answers
Financial Accounting - ANSWER-The field of accounting that focuses on providing information for
external decision makers.
Manegerial Accounting - ANSWER-Provides economic and financial information for managers and other
internal users.
Manufacturing Costs - ANSWER-consists of activities and processes that convert raw materials into
finished goods
Direct Materials - ANSWER-Raw materials that can be physically and directly associated with
manufacturing the finished product.
Raw Materials - ANSWER-the basic material from which a product is made.
Indirect Materials - ANSWER-Not physically part of the finished product or they are an insignificant part
of finished product in terms of cost.
Considered part of manufacturing overhead.
Direct Labor - ANSWER-the work of factory employees that can be physically and directly associated with
converting raw materials into finished goods
Indirect Labor - ANSWER-Work of factory employees that has no physical association with the finished
product or for which it is impractical to trace the costs to the goods produced.
Manufacturing Overhead - ANSWER-consists of costs that are indirectly associated with the manufacture
of the finished product
Product Costs - ANSWER-direct materials, direct labor, manufacturing overhead
Period Costs - ANSWER-non-manufacturing costs; includes all selling and administrative expenses
charged to expense as incurred
Total Work in porcess - ANSWER-1. cost of beginning work in process
2. total costs manufacturing overhead in current year
Total Manufacturing Costs - ANSWER-The sum of direct materials, direct labor, and manufacturing
overhead incurred in the current period.
Cost of Goods Manufactured - ANSWER-+ Beg WIP
+ DM used (Bed RM + RM Purchase - End RM)
+ DL
set with Questions and correct/verified
Answers
Financial Accounting - ANSWER-The field of accounting that focuses on providing information for
external decision makers.
Manegerial Accounting - ANSWER-Provides economic and financial information for managers and other
internal users.
Manufacturing Costs - ANSWER-consists of activities and processes that convert raw materials into
finished goods
Direct Materials - ANSWER-Raw materials that can be physically and directly associated with
manufacturing the finished product.
Raw Materials - ANSWER-the basic material from which a product is made.
Indirect Materials - ANSWER-Not physically part of the finished product or they are an insignificant part
of finished product in terms of cost.
Considered part of manufacturing overhead.
Direct Labor - ANSWER-the work of factory employees that can be physically and directly associated with
converting raw materials into finished goods
Indirect Labor - ANSWER-Work of factory employees that has no physical association with the finished
product or for which it is impractical to trace the costs to the goods produced.
Manufacturing Overhead - ANSWER-consists of costs that are indirectly associated with the manufacture
of the finished product
Product Costs - ANSWER-direct materials, direct labor, manufacturing overhead
Period Costs - ANSWER-non-manufacturing costs; includes all selling and administrative expenses
charged to expense as incurred
Total Work in porcess - ANSWER-1. cost of beginning work in process
2. total costs manufacturing overhead in current year
Total Manufacturing Costs - ANSWER-The sum of direct materials, direct labor, and manufacturing
overhead incurred in the current period.
Cost of Goods Manufactured - ANSWER-+ Beg WIP
+ DM used (Bed RM + RM Purchase - End RM)
+ DL
