CHAPTER 1: INTRODUCTION TO COST ACCOUNTING
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Test Bank For Principles Of Cost Accounting,
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17th Edition Edward J. Vanderbeck
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Chapters 1 - 10, Complete t t t t
Cengage Learning Testing, Powered by Cognero
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t
, CHAPTER 1: INTRODUCTION TO COST ACCOUNTING
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Contents
1. Ch 1: Introduction to Cost Accounting
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2. Ch 2: Accounting for Materials
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3. Ch 3: Accounting for Labor
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4. Ch 4: Accounting for Factory Overhead
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5. Ch 5: Process Cost Accounting-General Procedures
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6. Ch 6: Process Cost Accounting-Additional Procedures; Accounting for Joint Products and By-Products
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7. Ch 7: The Master Budget and Flexible Budgeting
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8. Ch 8: Standard Cost Accounting-Materials, Labor, and Factory Overhead
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9. Ch 9: Cost Accounting for Service Businesses, the Balanced Scorecard, and Quality Costs
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10. Ch 10: Cost Analysis for Management Decision Making
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Cengage Learning Testing, Powered by Cognero
t t t t t Page 2
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,CHAPTER 1: INTRODUCTION TO COST ACCOUNTING
t t t t t
The business entity that converts purchased raw materials into finished goods by using labor, technology, and facilitiesis a:
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a. Manufacturer.
b. Merchandiser.
c. Service business. t
d. Not-for-profit service agency. t t
ANSWER: a
RATIONALE: The business entity that converts purchased raw materials into finished goods by using labor,technology,
t t t t t t t t t t t t t t
and facilities is a manufacturer.
t t t t t
POINTS: 1
DIFFICULTY: Easy
LEARNING OBJECTI PRIN.EDWA.16.1 - Introduction
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VES:
t
ACCREDITING STAN AACSB Analytic t t t
DARDS: ACCT.AICPA.FN.03 - Measurement t t
BUSPROG.03 - Analytic t t t
IMA-Business Applications t
OTHER: Bloom's: Remembering t
2. The business entity that purchases finished goods for resale is a:
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a. Manufacturer.
b. Merchandiser.
c. Service business. t
d. Wholesaler.
ANSWER: b
RATIONALE: The business entity that purchases finished goods for resale is a merchandiser. t t t t t t t t t t t
POINTS: 1
DIFFICULTY: Easy
LEARNING OBJECTIVES PRIN.EDWA.16.1 - Introduction
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:
ACCREDITING STANDA AACSB Analytic ACCT.AICPA.FN.03 -
t t t t
RDS:
t MeasurementBUSPROG.03 - Analytic t t t t
IMA-Business Applications t
OTHER: Bloom's: Remembering t
3. The type of merchandiser who purchases goods from the producer and sells them to retailers that sell them to the
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consumer is a:
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a. Manufacturer.
b. Retailer.
c. Wholesaler.
d. Service business. t
ANSWER: c
RATIONALE: A wholesaler purchases goods from the producer and sells them to the retailer.
t t t t t t t t t t t t
POINTS: 1
DIFFICULTY: Easy
Cengage Learning Testing, Powered by Cognero
t t t t t Page 3 t
, CHAPTER 1: INTRODUCTION TO COST ACCOUNTING
t t t t t
LEARNING OBJECTIVES PRIN.EDWA.16.1 - Introduction
t t t t
:
ACCREDITING STANDA AACSB Analytic ACCT.AICPA.FN.03 -
t t t t
RDS:
t MeasurementBUSPROG.03 - Analytic t t t t
IMA-Business Applications t
OTHER: Bloom's:Remembering t
4. Examples of service businesses include:
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a. Airlines, accountants, and hair stylists. t t t t
b. Department stores, poster shops, and wholesalers. t t t t t
c. Aircraft producers, home builders, and machine tool makers.
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d. None of these are correct. t t t t
ANSWER: a
RATIONALE: Examples of service businesses include airlines, architects, and hair stylists. t t t t t t t t t
POINTS: 1
DIFFICULTY: Moderate
LEARNING OBJECTI tPRIN.EDWA.16.1 - Introduction t t
VES:
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ACCREDITING STAN AACSB Reflective Thinking
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DARDS: ACCT.AICPA.FN.03 - Measurement t t
BUSPROG.06 - Reflective Thinking t t t t
IMA-Business Applications t t
OTHER: Bloom's: Understanding t
5. ISO 9000 is a set of international standards for:
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a. determining the selling price of a product. t t t t t t
b. cost control. t
c. quality management. t
d. delivering product, t
ANSWER: c
RATIONALE: ISO 9000 is a set of international standards for quality management. t t t t t t t t t t
POINTS: 1
DIFFICULTY: Easy
LEARNING OBJECTIVES:PRIN.EDWA.16.1 - Introduction
t t t t
ACCREDITING STANDARAACSB Analytic t t t
DS: ACCT.AICPA.FN.03 - Measurement t t
BUSPROG.03 - Analytic t t t
IMA-Strategic Planning t
OTHER: Bloom's: Remembering t
6. Unit cost information is important for making all of the following marketing decisions except:
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a. Determining the selling price of a product. t t t t t t
b. Bidding on contracts. t t
Cengage Learning Testing, Powered by Cognero
t t t t t Page 4
t
t t t t t
Test Bank For Principles Of Cost Accounting,
t t t t t t t
17th Edition Edward J. Vanderbeck
t t t t t
Chapters 1 - 10, Complete t t t t
Cengage Learning Testing, Powered by Cognero
t t t t t Page 1
t
, CHAPTER 1: INTRODUCTION TO COST ACCOUNTING
t t t t t
Contents
1. Ch 1: Introduction to Cost Accounting
t t t t t
2. Ch 2: Accounting for Materials
t t t t
3. Ch 3: Accounting for Labor
t t t t
4. Ch 4: Accounting for Factory Overhead
t t t t t
5. Ch 5: Process Cost Accounting-General Procedures
t t t t t
6. Ch 6: Process Cost Accounting-Additional Procedures; Accounting for Joint Products and By-Products
t t t t t t t t t t t
7. Ch 7: The Master Budget and Flexible Budgeting
t t t t t t t
8. Ch 8: Standard Cost Accounting-Materials, Labor, and Factory Overhead
t t t t t t t t
9. Ch 9: Cost Accounting for Service Businesses, the Balanced Scorecard, and Quality Costs
t t t t t t t t t t t t
10. Ch 10: Cost Analysis for Management Decision Making
t t t t t t t
Cengage Learning Testing, Powered by Cognero
t t t t t Page 2
t
,CHAPTER 1: INTRODUCTION TO COST ACCOUNTING
t t t t t
The business entity that converts purchased raw materials into finished goods by using labor, technology, and facilitiesis a:
t t t t t t t t t t t t t t t t t t
a. Manufacturer.
b. Merchandiser.
c. Service business. t
d. Not-for-profit service agency. t t
ANSWER: a
RATIONALE: The business entity that converts purchased raw materials into finished goods by using labor,technology,
t t t t t t t t t t t t t t
and facilities is a manufacturer.
t t t t t
POINTS: 1
DIFFICULTY: Easy
LEARNING OBJECTI PRIN.EDWA.16.1 - Introduction
t t t
VES:
t
ACCREDITING STAN AACSB Analytic t t t
DARDS: ACCT.AICPA.FN.03 - Measurement t t
BUSPROG.03 - Analytic t t t
IMA-Business Applications t
OTHER: Bloom's: Remembering t
2. The business entity that purchases finished goods for resale is a:
t t t t t t t t t t
a. Manufacturer.
b. Merchandiser.
c. Service business. t
d. Wholesaler.
ANSWER: b
RATIONALE: The business entity that purchases finished goods for resale is a merchandiser. t t t t t t t t t t t
POINTS: 1
DIFFICULTY: Easy
LEARNING OBJECTIVES PRIN.EDWA.16.1 - Introduction
t t t t
:
ACCREDITING STANDA AACSB Analytic ACCT.AICPA.FN.03 -
t t t t
RDS:
t MeasurementBUSPROG.03 - Analytic t t t t
IMA-Business Applications t
OTHER: Bloom's: Remembering t
3. The type of merchandiser who purchases goods from the producer and sells them to retailers that sell them to the
t t t t t t t t t t t t t t t t t t t
consumer is a:
t t t
a. Manufacturer.
b. Retailer.
c. Wholesaler.
d. Service business. t
ANSWER: c
RATIONALE: A wholesaler purchases goods from the producer and sells them to the retailer.
t t t t t t t t t t t t
POINTS: 1
DIFFICULTY: Easy
Cengage Learning Testing, Powered by Cognero
t t t t t Page 3 t
, CHAPTER 1: INTRODUCTION TO COST ACCOUNTING
t t t t t
LEARNING OBJECTIVES PRIN.EDWA.16.1 - Introduction
t t t t
:
ACCREDITING STANDA AACSB Analytic ACCT.AICPA.FN.03 -
t t t t
RDS:
t MeasurementBUSPROG.03 - Analytic t t t t
IMA-Business Applications t
OTHER: Bloom's:Remembering t
4. Examples of service businesses include:
t t t t
a. Airlines, accountants, and hair stylists. t t t t
b. Department stores, poster shops, and wholesalers. t t t t t
c. Aircraft producers, home builders, and machine tool makers.
t t t t t t t
d. None of these are correct. t t t t
ANSWER: a
RATIONALE: Examples of service businesses include airlines, architects, and hair stylists. t t t t t t t t t
POINTS: 1
DIFFICULTY: Moderate
LEARNING OBJECTI tPRIN.EDWA.16.1 - Introduction t t
VES:
t
ACCREDITING STAN AACSB Reflective Thinking
t t t t
DARDS: ACCT.AICPA.FN.03 - Measurement t t
BUSPROG.06 - Reflective Thinking t t t t
IMA-Business Applications t t
OTHER: Bloom's: Understanding t
5. ISO 9000 is a set of international standards for:
t t t t t t t t
a. determining the selling price of a product. t t t t t t
b. cost control. t
c. quality management. t
d. delivering product, t
ANSWER: c
RATIONALE: ISO 9000 is a set of international standards for quality management. t t t t t t t t t t
POINTS: 1
DIFFICULTY: Easy
LEARNING OBJECTIVES:PRIN.EDWA.16.1 - Introduction
t t t t
ACCREDITING STANDARAACSB Analytic t t t
DS: ACCT.AICPA.FN.03 - Measurement t t
BUSPROG.03 - Analytic t t t
IMA-Strategic Planning t
OTHER: Bloom's: Remembering t
6. Unit cost information is important for making all of the following marketing decisions except:
t t t t t t t t t t t t t
a. Determining the selling price of a product. t t t t t t
b. Bidding on contracts. t t
Cengage Learning Testing, Powered by Cognero
t t t t t Page 4
t
