ac exam 2

For the month of May, Latter Company has beginning finished goods inventory of $50,000, ending finished goods inventory of $35,000, and cost of goods manufactured of $125,000. What is the cost of goods sold for May?

$140,000

The management process has the following 5 basic phases:

1.planning 2.directing 3.controlling 4.improving 5.decision making

A company estimated $420,000 of factory overhead cost and 16,000 direct labor hours for the period. During the period, a job was completed with $4,500 of direct materials and $3,000 of direct labor. The direct labor rate was $15 per hour. What is the factory overhead applied to this job?

5,250

The net income reported on the income statement for the year was $55,000, and deprecia- tion of fixed assets for the year was $22,000. The balances of the current asset and current liability accounts at the beginning and end of the year are as follows:

65,500

Which of the following costs would be included as part of the factory overhead costs of a microcomputer manufacturer?

Depreciation of testing equipment

Which of the following best describes the difference between financial and managerial accounting?

Managerial accounting is not restricted to generally accepted accounting principles, while financial accounting is restricted to GAAP.

For which of the following would the job order cost system be appropriate?

antique furniture repair shop

Job order cost sheets accumulate all of the following costs except for:

indirect materials

Which of the following methods of reporting cash flows from operating activities adjusts net income for revenues and expenses not involving the receipt or payment of cash?

indirect method

Which of the following is not one of the five basic phases of the management process?

operating

If the factory overhead account has a credit balance, factory overhead is said to be:

overapplied

An example of a cash flow from a financing activity is:

payment of cash for dividends

An example of a cash flow from an operating activity is:

receipt of cash from customers on account

An example of a cash flow from an investing activity is:

receipt of cash from the sale of equipment

Which of the following is not considered a cost of manufacturing a product?

sales salaries

The journal entry to record the requisition of materials to the factory in a job order cost system is a debit to:

work in process