ACCT 212 Final Exam-Liberty University with verified answers.

ACCT 212 Final Exam-Liberty University
with verified answers

Horizontal |Analysis |(side-by-side) |- |verified |answerscompare |year |to |year |analysis |of |each |account's |
dollar |amount |changes |and |percentage |changes; |dollar |change=current |year |minus |previous |year; |
%change= |dollar |change/previous |year

Vertical |Analysis |of |Balance |Sheet |- |verified |answerseach |item |is |stated |as |a |percent |of |total |assets.

Vertical |Analysis |of |Income |Statement |- |verified |answersaccount |balance/net |sales

ratio |analysis |- |verified |answersthe |assessment |of |a |firm's |financial |condition |using |calculations |and |
interpretations |of |financial |ratios |developed |from |the |firm's |financial |statements

current |ratio |- |verified |answerscurrent |assets/current |liabilities

acid-test |ratio |- |verified |answers(Current |Assets |- |Inventory) |/ |Current |Liabilities

total |asset |turnover |- |verified |answersnet |sales/average |total |assets

A/R |turnover |- |verified |answersSales/Average |A/R, |net

Days' |sales |uncollected |- |verified |answers365 |/ |A/R |Turnover

inventory |turnover |- |verified |answersCOGS/Average |Inventory

debt-to-equity |ratio |- |verified |answerstotal |liabilities/total |equity

times |interest |earned |- |verified |answersEBIT/ |interest |expense

profit |margin |- |verified |answersnet |income/net |sales

return |on |assets |- |verified |answersnet |income/average |total |assets

working |capital |- |verified |answerscurrent |assets-current |liabilities

fixed |costs |- |verified |answerscosts |that |remain |constant |as |output |changes

variable |costs |- |verified |answerscosts |that |vary |directly |with |the |level |of |production

direct |costs |- |verified |answersCosts |that |can |be |specifically |identified |with |a |particular |project |or |
activity.

indirect |costs |- |verified |answersCosts |that |cannot |be |easily |and |accurately |traced |to |a |cost |object.

schedule |of |cost |of |goods |manufactured |- |verified |answersDirect |Materials |used

+Direct |Labor

+Factory |Overhead

, =total |manufacturing |cost

+beginning |WIP

-ending |WIP

=COGM

direct |labor |- |verified |answersthe |work |of |factory |employees |that |can |be |physically |and |directly |
associated |with |converting |raw |materials |into |finished |goods

indirect |labor |- |verified |answersThe |labor |costs |of |janitors, |supervisors, |materials |handlers, |and |other |
factory |workers |that |cannot |be |conveniently |traced |to |particular |products.

prime |cost |- |verified |answersDirect |Materials |+ |Direct |Labor

factory |overhead |- |verified |answersmanufacturing |costs |that |are |not |raw |material |or |direct |labor |
costs |(depreciation, |rent, |insurance, |utilities, |etc.)

Inventory |to |COGS |- |verified |answersRaw |material |inventory+purchases-RM |used(also |called |
DM)=ending |RM |inventory

WIP |beginning+DM+DL+FOH-Ending |WIP=COGM

Finished |Goods+COGM-Ending |Finished |Goods=COGS

total |quality |management |- |verified |answersmanaging |the |entire |organization |so |that |it |excels |on |all |
dimensions |of |products |and |services |that |are |important |to |the |customer

process |cost |- |verified |answersthe |total |cost |incurred |in |producing |and |delivering |outputs

job |costs |- |verified |answerscustomizable

build |to |order |- |verified |answersmanufacturing |a |product |only |when |there |is |an |order |from |a |
customer

Predetermined |Overhead |Rate |- |verified |answersestimates |cost |of |a |job |and |is |calculated |by |

total |estimate |overhead/total |estimated |activity |base

raw |materials |to |WIP |- |verified |answersWIP |Inventory |$$

| RM |inventory |$$

Direct |labor |to |WIP |- |verified |answersWIP |inventory |$$

| ------S&W |Payable |$$

Indirect |materials |to |overhead |- |verified |answersFOH............$$

| RM |Inv............$$

Indirect |labor |to |FOH |- |verified |answersFOH |$$

| S&W |Payable |$$