ACC Test 3
A limited resource of some type that restricts the company's ability to satisfy demand is a(n) Blank______.
Constraint
If some products must be cut back because of a constraint, produce the products with the highest Blank______.
Contribution margin per unit of constrained resource
Working hours required to satisfy the production budget are shown on the ______ budget.
Direct labor
contribution margin per labor hour
Find C.M and divide by time required
The cost of unsold units is computed on the______ budget.
ending finished goods inventory
Predetermined Overhead Rate
total manufacturing overhead cost/estimated total amount of the allocation base
Operating budgets generally cover a______ period.
year
The receipts section of the cash budget lists ______.
All cash inflows except borrowings
A company is considering buying a component part that they currently make. Items related to the equipment being used to make the component that are relevant to this decision include Blank______.
Alternative uses, salvage value
When making a volume-trade off decision, managers should ignore Blank______.
Fixed costs
An integrated business plan that formally lays out the company's goals is called the Blank______ budget.
Master
The amount of goods to be acquired from suppliers during the period is shown on the ______ budget.
Merchandise purchases
The first line of the direct labor budget consists of the budgeted units expected to be ______ during the period.
Produced
What number does the direct materials budget take directly from the production budget?
Required production
To calculate total sales on the sales budget, multiply budgeted sales in units by ___
Sales price per unit
Which of the following is needed to prepare a sales budget?
The budgeted number of units to be sold
The ending finished goods inventory budget computes the cost of ______ units.
Unsold
In a manufacturing company, the ___ budget is prepared right after the sales budget
production
a manufacturing company, the _______ budget is used to determine the budgets for manufacturing costs, including the direct materials budget, the direct labor budget,
production