Quiz 1 [1211 Acccob 3 K48] PDF

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Quiz 1Due Nov 11 at 4:15pm Points 50 Questions 35 Available Nov 11 at 4:15pm - Nov 11 at 5:45pm about 2 hours Time Limit 90 MinutesInstructionsThis quiz was locked Nov 11 at 5:45pm.Attempt HistoryAttempt Time Score LATEST Attempt 1 71 minutes 48 out of 50Score for this quiz: 48 out of 50 Submitted N...

Description

11/18/21, 8:42 PM

Quiz 1: [1211_ACCCOB3_K48] - BASIC MANAGEMENT ACCOUNTING

Quiz 1 Due Nov 11 at 4:15pm

Points 50

Questions 35

Available Nov 11 at 4:15pm - Nov 11 at 5:45pm about 2 hours

Time Limit 90 Minutes

Instructions PARTS I. True or False (10 items, 1 point each = 10 points) II. Multiple Choice (10 items, 1 point each = 10 points) III. Problem Solving (15 items, 2 points each = 30 points) INSTRUCTIONS The exam is good for 1.5 hours (90 minutes). Backtracking is allowed. REMINDERS 1. Other than your main Canvas quiz page, you are NOT allowed to open any tabs nor open any applications during the quiz time. Not even Excel. Use your manual calculator for all calculations. 2. Be reminded of the provisions of Section 5.3.1.1 of the SH that states that “Cheating in any form during an examination, test, or written reports including reaction papers, case analysis, experiments or assignments required is a MAJOR OFFENSE”.

This quiz was locked Nov 11 at 5:45pm.

Attempt History LATEST

Attempt

Time

Score

Attempt 1

71 minutes

48 out of 50

Score for this quiz: 48 out of 50 Submitted Nov 11 at 5:26pm This attempt took 71 minutes.

Question 1

0 / 1 pts

Companies generally follow one of two basic strategies: 1) providing a quality product or service at low prices, or 2) offering a unique product or https://dlsu.instructure.com/courses/77087/quizzes/178995

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service often priced higher than competing products.

orrect Answer

ou Answered

True False

Question 2

1 / 1 pts

Depreciation is always considered a product cost for external financial reporting purposes in a manufacturing firm.

Correct!

False

Question 3

1 / 1 pts

The following costs should be considered by a law firm to be indirect costs of defending a particular client in court: rent on the law firm's offices, the law firm's receptionist's wages, the costs of heating the law firm's offices, and the depreciation on the personal computer in the office of the attorney who has been assigned the client.

Correct!

True

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Question 4

1 / 1 pts

A cost that differs from one month to another is known as a differential cost.

Correct!

False

Question 5

0 / 1 pts

AirAsia Airlines is an example of a company that pursues a product differentiation strategy.

ou Answered

True

orrect Answer

False

Question 6

1 / 1 pts

Strategy does NOT specify how an organization matches its capabilities with the opportunities in the marketplace.

Correct!

False

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Question 7

1 / 1 pts

In external financial reports, factory utilities costs may be included in an asset account on the balance sheet at the end of the period.

Correct!

True

Question 8

1 / 1 pts

Customer value is shown in a corporation's balance sheet.

Correct!

False

Question 9

1 / 1 pts

Managerial accounting provides useful information to managers on product costs.

Correct!

True

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Question 10

1 / 1 pts

Companies can decide on an appropriate strategy based strictly on internally available information.

Correct!

False

Question 11

1 / 1 pts

The person most likely to use ONLY financial accounting

Correct!

Current shareholder

Question 12

1 / 1 pts

Which of the following should NOT be included as part of manufacturing overhead at a company that makes office furniture?

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Quiz 1: [1211_ACCCOB3_K48] - BASIC MANAGEMENT ACCOUNTING

sheet steel in a file cabinet made by the company.

Question 13

1 / 1 pts

Which statement is true?

Correct! Because of a cost-benefit tradeoff, some direct costs may be treated as indirect costs.

Question 14

1 / 1 pts

Strategy specifies:

Correct! how an organization matches its own capabilities with the opportunities in the marketplace

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Question 15

1 / 1 pts

Which one of the following costs should NOT be considered a direct cost of serving a particular customer who orders a customized personal computer by phone directly from the manufacturer?

Correct! the cost of leasing a machine on a monthly basis that automatically tests hard disk drives before they are installed in computers.

Question 16

1 / 1 pts

Which of the following is NOT one of the questions management accountants might attempt to help answer in the formulation of strategy?

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Correct! Does the strategy comply with GAAP (Generally Accepted Accounting Principles)?

Question 17

1 / 1 pts

The term differential cost refers to:

Correct! a difference in cost which results from selecting one alternative instead of another.

Question 18

1 / 1 pts

Which one of the following items is a direct cost?

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Correct! Printing costs incurred for payroll check processing; payroll check processing is the cost object.

Question 19

1 / 1 pts

A manufacturing plant produces two product lines: golf equipment and soccer equipment. An example of direct costs for the golf equipment line are:

Correct! monthly lease payments for a specialized piece of equipment needed to manufacture the golf driver

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1 / 1 pts

Question 20

Which of the following statements concerning an organization's strategy is NOT true?

Correct!

A good strategy will always overcome poor implementation.

2 / 2 pts

Question 21

Roswaal L. Mathers Manufacturing provided the following information for last month: Sales

P200,000

Variable costs

60,000

Fixed costs

90,000

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Operating income

P50,000

If sales double next month, what is the projected operating income?

Correct!

P190,000

Question 22

2 / 2 pts

The following costs were incurred in September: Direct Materials – P21,000 Direct Labor – P17,000 Manufacturing overhead – P67,000 Selling expenses – P16,000 Administrative expenses – P15,000

Conversion costs during the month totaled:

Correct!

P84,000

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2 / 2 pts

Question 23

Emilia Company manufactures several different products. Unit costs associated with Product 101 are as follows: Direct materials

P60

Direct manufacturing labor

10

Variable manufacturing overhead

18

Fixed manufacturing overhead

32

Sales commissions (2% of sales)

4

Administrative salaries

16

Total

P140

What is the period cost per unit associated with Product 101?

Correct!

P20

Question 24

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2 / 2 pts

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M Company’s payroll summary showed the following in November: Sales department salaries

P10,000

Supervisor salaries

20,000

Assembly workers’ wages

25,000

Machine operators’ wages

35,000

Maintenance workers’ wages

15,000

Accounting department salaries

5,000

What is the amount that would be included in direct labor in November?

Correct!

P60,000

2 / 2 pts

Question 25

Which of the following types of cost is shown in the cost data below? Cost per unit

Number of units

P8,000

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1

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Quiz 1: [1211_ACCCOB3_K48] - BASIC MANAGEMENT ACCOUNTING

8,500

2

9,000

3

9,500

4

mixed cost

2 / 2 pts

Question 26

M Company produced 20,000 blankets in October to be sold during the holiday season. The manufacturing costs were: Direct materials

P125,000

Direct labor

55,000

Factory overhead

60,000

Management has decided that the mark-on percentage necessary to cover the product’s share of selling and administrative expenses and to earn a satisfactory profit is 30%. The selling price per blanket should be:

Correct!

P15.60

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2 / 2 pts

Question 27

1. The following information pertains to Nob Ara's Mannequins: Manufacturing costs

P1,500,000

Units manufactured

30,000

Units sold

29,500 units sold for P85 per unit

Beginning inventory

0

What is the amount of ending finished goods inventory?

Correct!

P25,000

Question 28

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2 / 2 pts

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Emilia Company manufactures several different products. Unit costs associated with Product 101 are as follows:

Direct materials

P60

Direct manufacturing labor

10

Variable manufacturing overhead

18

Fixed manufacturing overhead

32

Sales commissions (2% of sales) Administrative salaries Total

4 16 P140

What are the variable costs per unit associated with Product 101?

Correct!

P92

Question 29

2 / 2 pts

Subaru Manufacturing produces a unique valve, and has the capacity to produce 50,000 valves annually. Currently Subaru produces 40,000 https://dlsu.instructure.com/courses/77087/quizzes/178995

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valves and is thinking about increasing production to 45,000 valves next year. What is the most likely behavior of total manufacturing costs and unit manufacturing costs given this change?

Correct! Total manufacturing costs will increase and unit manufacturing costs will decrease.

2 / 2 pts

Question 30

1. Which of the following types of cost is shown in the cost data below? Cost per unit

Number of units

P6,000

1

3,000

2

2,000

3

1,500

4

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Correct!

Quiz 1: [1211_ACCCOB3_K48] - BASIC MANAGEMENT ACCOUNTING

fixed cost

2 / 2 pts

Question 31

Lugnica Manufacturing reported the following: Revenue

P420,000

Purchases of direct materials

146,000

Direct manufacturing labor

18,000

Indirect manufacturing costs

40,000

Cost of goods manufactured

104,000

Operating costs

140,000

How much of the above would be considered as period costs?

Correct!

P140,000

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2 / 2 pts

Question 32

REM Co. has sales of P200,000 with variable expenses of P150,000, fixed expenses of P60,000, and net loss of P10,000. How much would Kobe have to sell in order to achieve a net income of 10% of sales?

Correct!

P400,000

2 / 2 pts

Question 33

Emilia Company manufactures several different products. Unit costs associated with Product 101 are as follows: Direct materials

P60

Direct manufacturing labor

10

Variable manufacturing overhead

18

Fixed manufacturing overhead

32

Sales commissions (2% of sales) Administrative salaries Total https://dlsu.instructure.com/courses/77087/quizzes/178995

4 16 P140 19/21

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What are the fixed costs per unit associated with Product 101?

Correct!

P48

Question 34

2 / 2 pts

At a certain level of operations, per unit costs and profit are as follows: manufacturing costs, P50; selling and administrative expenses, P10; desired net profit, P20. Given this information, the mark-on percentage to manufacturing cost used to determine selling price must have been:

Correct!

60 percent.

Question 35

2 / 2 pts

Tire and Spoke Manufacturing currently produces 1,000 bicycles per month. The following per unit data apply for sales to regular customers:

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Direct materials Direct manufacturing labor

P50 5

Variable manufacturing overhead

14

Fixed manufacturing overhead

10

Total manufacturing costs

P79

The plant has capacity for 3,000 bicycles and is considering expanding production to 2,000 bicycles. What is the per unit cost of producing 2,000 bicycles?

Correct!

P74

Quiz Score: 48 out of 50

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