ACCT 2000 Exam 3

Just in Time

Companies are focusing on lean manufacturing ____ inventory methods, help lower inventory levels and costs

She should help develop the sales budget before the production budget because production will depend on the number of sales.

Hailey has been tasked with overseeing the development of the company's master budget. This is the first time Hailey has had this role, and she is not sure where to start. What advice would you give her? Why?

X= Fixed costs + net income X= Net Sales Revenue- variable costs X= Price per unit- variable cost per unit

How to find contribution margin

x= (selling price per unit - variable cost per unit)/ selling price per unit

How to find contribution margin ratio

Value chain

Refers to all business processes associated with providing a product/service

C. independent audits

All of the following are distinguishing features of managerial accounting except a. reports pertaining to subunits of the entity b. to provide special purpose information c. independent audits d. internal users

is a costly but beneficial exercise.

Eliciting information from lower-level operating managers and their subordinates with the help of a bottom-up budgeting process

Controlling

The process of keeping the company's activities on track

Direct labor

What is the smallest component of total manufacturing costs?