About the Author
Mission Statement
Contact Us
Terms of Use
Privacy Policy
Log out

Chapters 1-4 The Accounting Cycle
Chapters 5-8 Current Assets
Chapters 9-11 Long-Term Assets
Chapters 12-14 Liabilities/Equities
Chapters 15-16 Using Information
- Chapter 15: Financial Reporting and Concepts
- Chapter 16: Financial Analysis and the Statement of Cash Flows
Chapters 17-20 Managerial/Cost
Chapters 21-24 Budgeting/Decisions

Chapter 17 - Multiple Choice

Home
quizzes

Chapter 17 – Multiple Choice

Text
Problems
Goals Achievement
Fill in the Blanks
Multiple Choice
Glossary

Time limit: 0

Quiz Summary

0 of 8 Questions completed

Questions:

Information

You have already completed the quiz before. Hence you can not start it again.

Quiz is loading…

You must sign in or sign up to start the quiz.

You must first complete the following:

Results

Quiz complete. Results are being recorded.

Results

0 of 8 Questions answered correctly

Your time:

Time has elapsed

You have reached 0 of 0 point(s), (0)

Earned Point(s): 0 of 0, (0)
0 Essay(s) Pending (Possible Point(s): 0)

Categories

Not categorized 0%

1
2
3
4
5
6
7
8

Current
Review
Answered
Correct
Incorrect

Question 1 of 8

1. Question
Which of the following statements about differences between financial and managerial accounting is incorrect?
- Managerial accounting information is prepared primarily for external parties such as stockholders and creditors; financial accounting is directed at internal users.
- Financial accounting is aggregated; managerial accounting is focused on products and departments.
- Managerial accounting pertains to both past and future items; financial accounting focuses primarily on past transactions and events.
- Financial accounting is based on generally accepted accounting practices; managerial accounting faces no similar constraining factors.
Correct

Incorrect
Question 2 of 8

2. Question
Cost accounting information can be used for:
- Budget control and evaluation.
- Determining standard costs and variances.
- Pricing and inventory valuation decisions.
- All of these.
Correct

Incorrect
Question 3 of 8

3. Question
Manufacturing costs are also known as product costs. Which of the following best describes those costs which are considered to be manufacturing costs?
- Direct materials, direct labor, and factory overhead.
- Direct materials and direct labor only.
- Direct materials, direct labor, factory overhead, and administrative overhead.
- Direct labor and factory overhead.
Correct

Incorrect
Question 4 of 8

4. Question
The 20X5 work in process inventories of Parkhurst, Inc., totaled $20,000 on January 1 and $15,000 on December 31. If total manufacturing cost was 90% of cost of goods sold, how much was cost of goods sold?
- Cannot be determined from the information presented.
- 110% of total manufacturing cost.
- ($20,000 – $15,000)/0.90.
- ($20,000 – $15,000) + 110% of total manufacturing cost.
Correct

Incorrect
Question 5 of 8

5. Question
Machine lubricant used on processing equipment in a manufacturing plant would be classified as a:
- period cost/manufacturing overhead.
- period cost/SG&A.
- product cost/manufacturing overhead.
- product cost/SG&A.
Correct

Incorrect
Question 6 of 8

6. Question
Factory overhead includes all manufacturing costs except direct material and direct labor. Which of the following items would not be considered to be a factory overhead cost?
- Repainting the corporate office building.
- Indirect labor.
- Repair and maintenance expenditures on factory machinery.
- Small expenditures pertaining to items like rags, screws, adhesives, etc., used in the production process.
Correct

Incorrect
Question 7 of 8

7. Question
Which of the following product costs is both a prime cost and conversion cost?
- All of the following (b, c, and d).
- Manufacturing overhead.
- Direct material.
- Direct labor.
Correct

Incorrect
Question 8 of 8

8. Question
On a schedule of cost of goods manufactured:
- Cost of goods manufactured and total manufacturing costs are always the same.
- Cost of goods manufactured is calculated by adding the beginning work in process inventory to total manufacturing costs and subtracting the ending work in process inventory balance
- Beginning raw materials inventory plus direct labor plus factory overhead yields total manufacturing costs.
- All of the above are correct.
Correct

Incorrect

Click here to visit the bookstore and purchase principlesofaccounting.com textbooks!

Additional Resources

Illustrative Entries

Examples of journal entries for numerous sample transactions

Account Types

Typical financial statement accounts with debit/credit rules and disclosure conventions

Glossary

Includes financial and managerial terms

Time Value of Money

Future and present value tables

Important Links

Classroom
ExamCram
Bookstore
YouTube videos
MyExceLab
Certificates
Cookie Policy

Glossary Search

Principlesofaccounting.com ™ Copyright © 2023. All rights reserved.

Chapters 1-4
Chapters 5-8
Chapters 9-11
Chapters 12-14
Chapters 15-16
- Chapter 15: Financial Reporting and Concepts
- Chapter 16: Financial Analysis and the Statement of Cash Flows
Chapters 17-20
Chapters 21-24
About the Author
Mission Statement
Contact Us
Terms of Use
Privacy Policy
Log out