Quiz Submissions - Final Exam Part 1
Question 1 point
A typical use of managerial accounting is to:
help investors and creditors assess the financial position of the company.
help management get a clean audit report
help the marketing manager decide which product promotion to implement
help the SEC decide whether management is in compliance of its policies.
Questio 0/1
n2 point
Three costs incurred by Pitt Company are summarized below:
1,000 units 2,000 units
Cost A $10,000 $15,000
Cost B $21,000 $21,000
,Cost C $16,000 $32,000
Which of these costs are variable?
A, B, and C
A and B
A only
C only
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Question 3 point
Bubba's Steakhouse has budgeted the following costs for a month in which 1,600 steak dinners will be produced and sold: Materials,
$4,080; hourly labor (variable), $5,200; rent (fixed), $1,520; depreciation, $700; and other fixed costs, $480. Each steak dinner sells
for $12.60 each. How much would Shula’s profit increase if 10 more dinners were sold?
Answer:
68
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Question 4 point
Bellfont Company produces door stoppers. August production costs are below:
Door Stoppers produced 71,000
,Direct material (variable) $20,000
Direct labor (variable) 40,000
Supplies (variable) 20,000
Supervision (fixed) 25,300
Depreciation (fixed) 24,100
Other (fixed) 5,200
In September, Bellfont expects to produce 100,000 door stoppers. Assuming no structural changes, what is Bellfont’s production cost
per door stopper for September?
Answer:
1.67
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Question 5 point
Aaron's chairs is in the process of preparing a production cost budget for August. Actual costs in July for 120 chairs were:
Materials cost $4,640
Labor cost 2,960
Rent 1,500
Depreciation 2,500
Other fixed costs 3,200
, Materials and labor are the only variable costs. If production and sales are budgeted to change to 100 chairs in August, how much is
the expected total variable cost on the August budget?
Answer:
6,333.33
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Question 6 point
Carry-ALL plans to sell 1,300 carriers next year and has budgeted sales of $46,000 and profits of $22,000. Variable costs are
projected to be $20 per unit. Michael Co. offers to pay $20,800 to buy 780 units from Carry-ALL. Total fixed costs are $7,000 per
year. This offer does not affect Carry-ALL's other planned operations. The incremental revenues for this situation are
Answer:
-1,800 (20,800)
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SOLUTION:
SInce Michael's purchase does not affect Carry-ALL's planned operations, the only consideration is the incremental revenue from the
purchase of Michael's sale.
Question 1 point
A typical use of managerial accounting is to:
help investors and creditors assess the financial position of the company.
help management get a clean audit report
help the marketing manager decide which product promotion to implement
help the SEC decide whether management is in compliance of its policies.
Questio 0/1
n2 point
Three costs incurred by Pitt Company are summarized below:
1,000 units 2,000 units
Cost A $10,000 $15,000
Cost B $21,000 $21,000
,Cost C $16,000 $32,000
Which of these costs are variable?
A, B, and C
A and B
A only
C only
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Question 3 point
Bubba's Steakhouse has budgeted the following costs for a month in which 1,600 steak dinners will be produced and sold: Materials,
$4,080; hourly labor (variable), $5,200; rent (fixed), $1,520; depreciation, $700; and other fixed costs, $480. Each steak dinner sells
for $12.60 each. How much would Shula’s profit increase if 10 more dinners were sold?
Answer:
68
View Feedback
Question 4 point
Bellfont Company produces door stoppers. August production costs are below:
Door Stoppers produced 71,000
,Direct material (variable) $20,000
Direct labor (variable) 40,000
Supplies (variable) 20,000
Supervision (fixed) 25,300
Depreciation (fixed) 24,100
Other (fixed) 5,200
In September, Bellfont expects to produce 100,000 door stoppers. Assuming no structural changes, what is Bellfont’s production cost
per door stopper for September?
Answer:
1.67
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Question 5 point
Aaron's chairs is in the process of preparing a production cost budget for August. Actual costs in July for 120 chairs were:
Materials cost $4,640
Labor cost 2,960
Rent 1,500
Depreciation 2,500
Other fixed costs 3,200
, Materials and labor are the only variable costs. If production and sales are budgeted to change to 100 chairs in August, how much is
the expected total variable cost on the August budget?
Answer:
6,333.33
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Question 6 point
Carry-ALL plans to sell 1,300 carriers next year and has budgeted sales of $46,000 and profits of $22,000. Variable costs are
projected to be $20 per unit. Michael Co. offers to pay $20,800 to buy 780 units from Carry-ALL. Total fixed costs are $7,000 per
year. This offer does not affect Carry-ALL's other planned operations. The incremental revenues for this situation are
Answer:
-1,800 (20,800)
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SOLUTION:
SInce Michael's purchase does not affect Carry-ALL's planned operations, the only consideration is the incremental revenue from the
purchase of Michael's sale.
