The controller of ABC Manufacturing would consider the cost of salaries paid to personnel in his/her department to be
A-direct and controllable
B-direct but not controllable
C-indirect and controllable
D-indirect and not controllable
Right Answer: C (indirect and controllable)
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Inventoriable costs
.A. Include only the prime costs of manufacturing a product
.B. Include only the conversion costs of manufacturing a product
.C. Are expensed when products become part of finished goods inventory
.D. Are regarded as assets before the products are sold
Answer (D) is correct. Under an absorption costing system, inventoriable (product) costs include all costs necessary for good production. These include direct materials and conversion costs (direct labor and overhead). Both fixed and variable overhead is included in inventory under an absorption costing system. Inventoriable costs are treated as assets until the products are sold because they represent future economic benefits. These costs are expensed at the time of sale
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?company produces 200,000 units of a good that has the following cost
Direct material costs $2,000,000
Direct manufacturing labor costs 1,000,000
Indirect manufacturing labor costs 600,000
The company’s per unit prime costs and conversion costs, respectively, are
A. $8 and $15
B. $8 and $18
C. $10 and $8
D. $15 and $8
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Answer (D) is correct. Prime cost consists of direct materials and direct labor. Conversion cost consists of direct labor and manufacturing overhead. The per unit calculations are as follows: Direct materials $2,000,000 Direct labor $1,000,000 Direct labor 1,000,000 Manufacturing overhead 600,000 Total prime costs $3,000,000 Total conversion costs $1,600,000 Divided by: production level ÷ 200,000 Divided by: production level ÷ 200,000 Per unit prime cost $ 15 Per unit conversion cost $ 8
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?Which one of the following is correct regarding a relevant range
A. Total variable costs will not chang
B. Total fixed costs will not change
C. Actual fixed costs usually fall outside the relevant range
D. The relevant range cannot be changed after being established
The correct answer is C. Actual fixed costs usually fall outside the relevant range. The relevant range is the range of output where variable costs are predictable and fixed costs are constant per unit. This range helps organizations plan production and pricing. It is important to note that actual costs may differ from
budgeted costs and can affect the organization's profitability
التكاليف الثابتة الفعلية تقع عادةً خارج النطاق ذي الصلة. النطاق ذو الصلة هو نطاق الإنتاج حيث يمكن التنبؤ بالتكاليف المتغيرة وتكون التكاليف الثابتة ثابتة لكل وحدة. يساعد هذا النطاق المؤسسات على تخطيط الإنتاج والتسعير. ومن المهم ملاحظة أن التكاليف الفعلية قد تختلف عن التكاليف المدرجة في الميزانية ويمكن أن تؤثر على ربحية المنظمة
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The term "committed costs" refers to those:
a. Costs which management decides to incur in the current period to enable the company to achieve objectives other than the filling of orders placed by customers
b. Costs which are likely to respond to the amount of attention devoted to them by a specified manager.
c. Costs which are governed mainly by past decisions that established the present levels of operating and organizational capacity and which only change slowly in response to small changes in capacity
d. Costs which fluctuate in total in response to small changes in the rate of utilization of capacity. e. Costs amortized which were
capitalized in previous periods
The right answer is C
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Cotton Company has two service departments and three operating departments. In allocating service department costs to the operating departments, which of the following three methods (direct, step-down, reciprocal) will result in the same amount of service department costs being allocated to each operating department, regardless of the order in
which service department costs are allocated?
A- Direct and reciprocal methods only.
B- Step-down and reciprocal methods only.
C- Direct and step-down methods only.
D- Direct method only.
Answer (A) is correct
With the direct and reciprocal methods, the order of allocation is irrelevant. However, under the step-down method, some service
department cost is allocated to other service departments before allocation to the operating departments. These first allocations change
the proportions of the total constituted by each department
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Wilcox Industrial has two support departments, the Information Systems Department and the Personnel Department, and two manufacturing departments, the Machining Department and the Assembly Department. The support departments service each other as well as the two production departments.
Company studies have shown that the Personnel Department provides support to a greater number of departments than the Information Systems Department.
If Wilcox uses the reciprocal method of department allocation, which one of the following departmental allocations would occur? The costs of the
A- Assembly Department are allocated to the Information Systems Department and the Personnel Departmentِِ
B- Information Systems Department are allocated to the Machining Department and the costs of the Machining Department are allocated to the Assembly Department
C- Personnel Department are allocated solely to the Information Systems Department
D- Information Systems Department are allocated to the Personnel Department
Machining Department, and Assembly Departmen
Answer (D) is correct
The reciprocal method is the most complex and the most theoretically sound of the three service department allocation methods. The reciprocal method recognizes services rendered by all service departments to each other as well as to the production departments
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The manufacturing operations of Barton, Inc. had the following inventory balances for the month of March, 2000:
Inventories 3/1/00 3/31/00
Raw Materials 10,000 12,000
Work in process 6,000 7,000
Finished goods 30,000 22,000
If Barton transferred $38,000 of completed goods from work in process to finished goods during March, what was the amount of the cost of goods sold?
A $38,000
B $43,000
C $30,000
D $46,000
================================================== =
The answer
COGS = {Beginning Finished Goods Inventory} + {Cost of Goods Manufactured (COGM)} - {Ending Finished Goods Inventory}
$46,000 00 = COGS = $30,000 + $38,000 - $22,000 00
Correct answer: (D)
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Question 8 - CMA 1289 5.24 - Forecasting Techniques - Probability
The College Honor Society sells hot pretzels at the home football games.
The frequency distribution of the demand for pretzels per game is presented as follows: Sales Volume Probability
2,000 pretzels
0.10
3,000 pretzels 0.15
4,000 pretzels
0.20
5,000 pretzels
0.35
6,000 pretzels
0.20
The pretzels are sold for $1.00 each, and the cost per pretzel is $0.30. Any unsold pretzels are discarded because they will be stale before the next home game.
The conditional profit (loss) per game of having 4,000 pretzels available but being able to sell 5,000 pretzels if they had been available is
A. $(1,225).
B. $2,800.
C. $3,500.
D. $4,025.
The answer B is correct
You will be ignored --> being able to sell 5,000 pretzels if they had been available
The Revnue (4000×$1) = $4000- Expensess (4000*$.03)=$1200 =Progit $2800
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The financial statements of Lark Inc. for last year are shown below.
| ($000) | Income Statement |
| $4,000 | Revenue |
| 2,900 | Cost of sales |
| 1,100 | Gross margin |
| 500 | General & administrative |
| 100 | Interest |
| 150 | Taxes |
| $350 | Net income |
Balance Sheet ($000)
| $500 | Current liabilities | $800 | Current assets |
| $1,000 | Long-term debt | $3,200 | Plant & equipment |
| 2,500 | Common equity | | |
| $4,000 | | $4,000 | Totals |
| | | |
If Lark's book values approximate market values and if the opportunity costs of debt and equity are 10% and 15%, respectively, what was the economic profit for Lark last year
A: $-125000
B: $-25000
C: %0
D: $350'000
Answer B is correct
economic profit. Common equity is $2,500,000, and the opportunity cost of equity is 15%. Thus, the cost of equity is $2,500,000 × .15, or $375,000. Net income is $350,000. Net income minus the cost of equity equals the company’s economic profit. $350,000 - $375,000 = $(25,000)
350.000 دولار أمريكي هو صافي الربح المحاسبي (صافي الدخل) لهذا العام لشركة Lark. الغرض من حساب الربح الاقتصادي هو تحديد ما إذا كان ينبغي للشركة الاستمرار فعليًا في العمل في الأعمال التجارية التي تعمل فيها، أو ما إذا كان بإمكان أصحابها كسب المزيد من المال عن طريق القيام
بشيء آخر (مثل المشاركة في البديل الأفضل التالي). إذا كان مقدار الربح الذي تحققه الشركة أقل مما يمكن للمالكين تحقيقه في مكان آخر، فسيكون للشركة ربح اقتصادي سلبي. تكلفة حقوق الملكية هي معدل العائد المطلوب للمستثمرين، أي المبلغ الذي يمكن أن يكسبه المستثمرون في مكان آخر. لذلك، في هذه المشكلة، تكلفة حقوق الملكية هي الفرق بين الربح المحاسبي للشركة (أو صافي الدخل) وأرباحها الاقتصادية.
الغرض من حساب الربح الاقتصادي هو تحديد ما إذا كان ينبغي للشركة الاستمرار فعليًا في العمل في الأعمال التجارية التي تعمل فيها، أو ما إذا كان بإمكان أصحابها كسب المزيد من المال عن طريق القيام بشيء آخر (مثل المشاركة في البديل الأفضل التالي). إذا كان مقدار الربح الذي تحققه الشركة أقل مما يمكن للمالكين تحقيقه في مكان آخر، فسيكون للشركة ربح اقتصادي سلبي. تكلفة حقوق الملكية هي معدل العائد المطلوب للمستثمرين، أي المبلغ الذي يمكن أن يكسبه المستثمرون في مكان آخر. لذلك، في هذه المشكلة، تكلفة حقوق الملكية هي الفرق بين الربح المحاسبي للشركة (أو صافي الدخل) وأرباحها الاقتصادية. تبلغ قيمة الأسهم العادية 2,500,000 دولار أمريكي، وتبلغ تكلفة الفرصة البديلة للأسهم 15%. وبالتالي، فإن تكلفة حقوق الملكية تبلغ 2,500,000 دولار × .15، أو 375,000 دولار. صافي الدخل 350.000 دولار. صافي الدخل مطروحا منه تكلفة حقوق الملكية يساوي الربح الاقتصادي للشركة. 350,000 دولار؟ 375,000 دولار = (25,000 دولار). لاحظ أن تكلفة الدين ليست تعديلاً للربح المحاسبي في حساب الربح الاقتصادي. وذلك لأن الفائدة البالغة 10٪ على الديون طويلة الأجل قد تم احتسابها بالفعل في حساب صافي الدخل. في بيان الدخل، نرى "الفائدة 100000 دولار". هذه هي الفائدة البالغة 10٪ على الدين طويل الأجل بقيمة 1،000،000 دولار. لذا فقد تم بالفعل تخفيض صافي الدخل بسبب الفوائد على الدين. وإذا أردنا طرحه مرة ثانية، فسنطرحه مرتين.
موضوع: سؤال وجواب cma 2024 الجزء الرابع 
الخميس أبريل 18, 2024 10:28 am