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Question 1 Duration drive drivers rs ordinarily require more effort to record than transac transaction tion drivers. Answer

True

False

Question 7 Economists cor correctly rectly point out that many costs th that at the accountant classifies as variable are a actually ctually curvilinear. Answer

True

False

Question 8 In activity-b activity-based ased costing, as in traditional costing sys systems, tems, nonm nonmanufacturing anufacturing costs are not assigned to prod products. ucts. Answer

True

False

Question 11 Purchase order proce processing ssing is an example o off a: Answer Unit-level activity. Batch-level activity. Product-level activity. Organizationsustaining activity.

Question 19 Lowler Corpo Corporation ration uses the weig weighted-average hted-average method in its process cos costing ting system. Data concer concerning ning the first proces processing sing department fo forr the most recent mo month nth are listed below:

Note: Your ans answers wers may differ ffrom rom those offered b below elow due to rounding e error. rror. In all cases cases,, select the answer that is tthe he closest to the answer you computed. To reduce rounding e error, rror, carry out all comput computations ations to at le least ast three decimal places places.. The cost of ending work in proces process s inventory in the first costt system processing department according to the company's cos is close closest st to: Answer $102,383 $71,668 $31,711 $10,238

Question 20 Ermoin Corp Corporation oration uses the we weighted-average ighted-average method in its process cos costing ting system. This mo month, nth, the beginning inven inventory tory in the first proces processing sing department cons consisted isted of 600 units. The costs and p percentage ercentage completion of these units iin n beginning inventory we were: re:

A total of 5,7 5,700 00 units were started and 4,700 units were transferred to the second proces processing sing department during the month. The fo following llowing costs were incurred in the first p processing rocessing department du during ring the month:

The ending inven inventory tory was 75% comple complete te with respect to materials and 20% complete wit with h respect to conversion costs. Note: Your ans answers wers may differ ffrom rom those offered b below elow due to rounding e error. rror. In all cases cases,, select the answer that is tthe he closest to the answer you computed. To reduce rounding e error, rror, carry out all comput computations ations to at le least ast three decimal places places.. The total co cost st transferred from the first process processing ing department to the next proces processing sing depart department ment during the month is closest to: Answer $265,800 $242,055 $324,456 $251,700

Question 21

Moulgadi Co Corporation rporation uses the FIFO met method hod in its proces process s costing system system.. Data concerning the first process processing ing department fo forr the most recent mo month nth are listed below:

Note: Your ans answers wers may differ ffrom rom those offered b below elow due to rounding e error. rror. In all cases cases,, select the answer that is tthe he closest to the answer you computed. To reduce rounding e error, rror, carry out all comput computations ations to at le least ast three decimal places places.. The cost per equivalent unit fo forr materials for the month in the first process processing ing department is clo closest sest to: Answer $23.28 $21.83 $23.96 $19.70

Question 22 Kimbeth Manufa Manufacturing cturing makes Dust Density Sensors (DDS), a safety device for the mining indust industry. ry. The company uses a process cos costing ting system and h has as only a single proces processing sing department. The following inform information ation pertains to op operations erations for the month of May:

Th The e beginning work in process inventory was 60% complete w with ith respect to m materials aterials and 20% complete with res respect pect to conversion co costs. sts. The ending work in process inventory was 90% complete with respect to materi materials als and 40% complete wi with th respect to convers conversion ion costs. The costs were as follows follows::

Using the FIFO me method, thod, the cost per equivalent unit of materials for May is clo closest sest to: Answer $4.12 $4.50 $4.60 $4.80

Question 23 Unizat Corpo Corporation ration uses the weightedweighted-average average method in its process cos costing ting system. The follo following wing information per pertains tains to one of the company's processing departments for a recen recentt month:

All materials are added at the beg beginning inning of the process process.. The cost per eq equivalent uivalent unit for materi materials als is closes closestt to: Answer $0.86

$0.90 $1.10 $1.18

Question 24 In Novembe November, r, one of the proces processing sing departments at Rul Rullo lo Corporation had beginning work in process inven inventory tory of $23,000 and ending wo work rk in process inventory of $32,000. During the mo month, nth, $267,000 of cos costs ts were added to production and the cost of units tr transferred ansferred out from the department was $258,000. The company uses the F FIFO IFO method in its p process rocess costing sys system. tem. In the department department's 's cost reconcili reconciliation ation report for November, the tota totall cost to be accounted fo forr would be: Answer $580,000 $557,000 $290,000 $55,000

Question 25 Osman Corpo Corporation ration uses the FIFO method in its process costing system system.. Data concerning the first processing d for the mos recent month a department epartment mostt are re listed below:

Note: Your ans answers wers may differ ffrom rom those offered b below elow due to round rounding ing error. In all cases, select the answer that is the closest to the answer you comp computed. uted. To reduce rounding error, carry out all computations to at least three d decimal ecimal places. What are the eq equivalent uivalent units for conve conversion rsion costs for the month in the ffirst irst processing department? Answer 8,100 560 8,835 10,000

Question 27 Forest Corpo Corporation ration has prepared the following budg budgeted eted data based o on n a sales forecast of $3 $3,000,000: ,000,000:

What would be the amount of dollar sales at the break-even po point? int?

Answer $1,125,000 $2,000,000 $2,650,000 $1,750,000

Question 29 Meleski Corp Corporation's oration's recent utilit utility y costs are listed below:

Management be believes lieves that utility co cost st is a mixed cos costt that depends on machine-hours. Using the le least-squares ast-squares regressio regression n method, the estim estimate ate of the variable component of utility cost per ma machine-hour chine-hour is closest to: Answer $4.40 $4.79 $3.47 $3.37

Question 30

Fenestre Corpo Corporation's ration's contribut contribution ion margin ratio is 25%. The company's breakeven is 80, 80,000 000 units and the sell selling ing price of its o only nly product is $4.00 a unit. What are the comp company's any's fixed expens expenses? es? Answer

$80,000 $320,000 $20,000 $120,000

Question 35 The controller of Hallowell Company estimates the amoun amountt of materials handling overhead cos costt that should be a allocated llocated to the comp company's any's two products using the data tha thatt are given belo below: w:

The total mate materials rials handling cos costt for the year is expec expected ted to be $18,257.4 $18,257.40. 0. If the materi materials als handling cost is allocated on the basis of material moves moves,, how much of the total materials handling cost would be a to the speci allocated llocated specialty alty windows? (Ro (Round und off your answe answerr to the nearest whole doll dollar.) ar.) Answer $9,129 $6,639 $14,296 $15,649

Question 36 Vodopich Corp Corporation oration has provided the following data from its activ activity-based ity-based costing system system::

According to tthe he activity-base activity-based d costing system, the ave average rage cost of prod product uct P58Z is clos closest est to: Answer $113.33 per unit $58.30 per unit $123.40 per unit $118.30 per unit

Question 39 Grodin Catering uses activity-b activity-based ased costing for its o overhead verhead costs. The company has p provided rovided the following data concerning the activity rates in iits ts activity-base activity-based d costing system:

The number of meals served is the measure of activity fo forr the Preparing Meals activity cos costt pool. The numbe numberr of functions catered is used as the activity measure for the Arranging Functions ac activity tivity cost poo pool. l. Management would like to know whether the company made any money on a recent func function tion at which 180 mea meals ls were served. The company catered the function for a fixed price of $ $15.00 15.00 per meal. The cos costt of the raw ingredie ingredients nts for the mea meals ls was $9.65 per mea meal. l. This cost is in addition to the costs of wages wages,,

supplies supplies,, and other expenses detailed above. For the purpo purposes ses of preparing action analyses, manage management ment has assigned eas ease e of adjustment codes to the cos costs ts as follows: wages are classified as a Yellow cost; supp supplies lies and raw ingred ingredients ients as a Green cost; and other expense expenses s as a Red cost. Suppose an action analysis report is prepared for the func function tion mentioned abo above. ve. What would be the "red margin" in the action analysis report? (Round to the nearest whole dollar.) Answer $231 $381 $131 $81...