How JustAnswer Works:

  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site.
    Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.

Ask Linda_us Your Own Question

Linda_us
Linda_us, Finance, Accounts & Homework Tutor
Category: Homework
Satisfied Customers: 7139
Experience:  Post Graduate Diploma in Management (MBA)
19873544
Type Your Homework Question Here...
Linda_us is online now
A new question is answered every 9 seconds

1. Which of the following is not an example of a product cost

Resolved Question:

1. Which of the following is not an example of a product cost at a gym?
A. Salary paid to instructors.
B. Corporate office rent.
C. Supplies
D. Utility cost in the gymnasium.


2. Gross margin equals:
A. Revenues less product costs.
B. Revenues less period costs.
C. Revenues less selling and administrative expenses.
D. Revenues less depreciation expense.


3. Metal used to make components is an example of:
A. Direct Labor
B. Variable Manufacturing Overhead
C. Direct Materials
D. Fixed Manufacturing Overhead


4. Which of the following is not an example of a direct material?
A. Steel.
B. Packaging Materials.
C. Leather.
D. Canvas.


5. Which account would not be shown under inventory in a manufacturing firm's balance sheet?
A. Work-in-Process.
B. Merchandising Inventory.
C. Finished Goods.
D. Held on Consignment.


6. Aspen Company has sales of $2,000,000, cost of goods sold of $200,000, and selling and administrative costs of $500,000. Aspen Company's gross margin is:
A. $1,800,000.
B. $1,500,000.
C. $1,300,000.
D. $1,700,000.
7. Suppose Max's Shuttle Service wants to earn a profit before taxes of $375,000 in the coming year. Max's selling price is $40, its variable cost per unit is $20, and its fixed costs are $150,000. How many tickets must the company sell?
A. 26,520
B. 26,250
C. 18,750
D. 11,250
E.

8 A firm performs CVP analysis for three primary purposes:
A. calculating measures that help assess operating risk
B. evaluating the profit impact of short-term decision alternatives
C. profit planning
D. All of the Above


9. Which of the following is most likely a primary user of managerial accounting?
A. Tax Authorities.
B. Employees.
C. Creditors.
D. Shareholders.


10. Which of the following is a characteristic of financial accounting?
A. Periodicity of reporting is often generated on an as-needed basis.
B. Focus is on estimates on future performance.
C. Governed by Generally Accepted Accounting Principles (GAAP)
D. Information relevance valued most.


11 ABC uses which of the following as the denominator volume when calculating allocations rates:
A. Unused capacity.
B. Budgeted volume.
C. Practical capacity.
D. Actual volume.


12. ABC Systems:
A. Allows us to estimate to cost of capacity resources consumed by each product accurately when capacity costs are grouped into carefully designed cost pools.
B. Frequently uses practical capacity as the denominator value when calculating allocation rates.
C. Is an approach in determining product costs.
D. All of the above.


13. Which is a characteristic of a "high cost-to-serve" customer?
A. Large order sizes.
B. Minimal order change requests.
C. Require more customization.
D. Pay on time.


14. Product planning involves:
A. Identifying profitable and unprofitable customers.
B. Making appropriate add/drop decisions.
C. Taking actions to improve customer profitability.
D. Ensuring that in the short-run product prices are set so that they deliver positive profit margins.


15. Suppose a firm's price per unit is $10, variable cost per unit is $5, total overhead is $15,000,000, and direct labor hours is 7,000,000. The firm allocates overhead using direct labor hours as the allocation basis. What is the firm's overhead rate?
A. $2.41
B. $2.31
C. $2.14
D. $2.16


16. Which is an incorrect statement of a job-costing system?
A. Orders are customized.
B. Orders are for large quantities.
C. Average costing per unit is sufficient in a job shop environment.
D. The setting can be described as "discrete" production.



17. Using the following information: Beginning materials inventory = $50,000, Raw materials purchased on account = $20,000, Material issued out to the shop floor = $45,000, the ending balance of materials inventory is:
A. $45,000
B. $95,000
C. $65,000
D. $25,000





18. Humprey's Airlines is considering two different options: install 10 self-service check-in machines which would increase profits by $2,800, or install 3 additional full-service check-in stations which would increase profits by $700. What is the value and opportunity cost of the option of installing the 3 additional full-service check-in stations?

Value Opportunity Cost
A. $700 $700
B. $700 $2,800
C. $2,800 $700
D. $2,800 $2,800



19. Fixed costs of operating a factory are examples of:
A. Unit-level costs.
B. Facility-level costs.
C. Product-level costs.
D. Batch-level costs.
E. None of the above.


20. Advertising costs are examples of:
A. Unit-level costs.
B. Facility-level costs.
C. Product-level costs.
D. Batch-level costs.
E. None of the above.



21. In August, a manufacturing plant produced 100 units of tubes for sale. The total variable costs were $6,000 and the fixed costs for the plant amounted to $5,000. How much is the unit variable cost for the tubes if 130 tubes are produced?
A. $60.00
B. $84.61
C. $46.15
D. $110.00


22. The following table presents total cost for three types o
Submitted: 3 years ago.
Category: Homework
Expert:  Linda_us replied 3 years ago.

Dear JA Customer

 

Welcome to JA. The Question 22 looks incomplete, please complete the question. Also advice your deadline for this question.

 

Regards

 

Linda

Customer: replied 3 years ago.
I have more, I will send you a file with it all. I have tried everything, it is a due at 11:30pm tonight. I have tried everything, the textbook and google and my knowledge. Thanks a million!
Expert:  Linda_us replied 3 years ago.
Send it. I will work on it and complete it before the deadline.
Customer: replied 3 years ago.
How can i send it, and where? The paper clip will only allow me to upload graphics?
Expert:  Linda_us replied 3 years ago.
You can just copy and paste the remaining questions as you did for the first 21 questions.
Customer: replied 3 years ago.

22. The following table presents total cost for three types of cost (x, y, and z) for two three different activity levels in a manufacturing process. Identify which cost type is fixed.

Cost: X Y Z

2,000 units $10,000 $15,000 $20,000

3,000 units $11,000 $15,000 $20,000

4,000 units $12,000 $15,000 $20,000

a. X

b. Y

c. Z

d. Y and Z

23. During the current year, Britton’s Bread Bakery reported the following costs:

Building rent $60,000

Equipment depreciation $13,000

Supervisor’s salary $50,000

Bread ingredients, per loaf $0.89

Packaging, per loaf $0.07

Britton baked and sold 375,000 loaves of bread during the year. What was the total cost incurred for the year?

A. $360,000

B. $123,000

C. $483,000

D. $237,000

24. Which of the following is not a characteristic of managerial accounting?
A. Information is used by internal parties.
B. Information is subjective, relevant, future-oriented.
C. Reports are prepared as needed.
D. Information is reported for the company as a whole.

25. Which of the following types of firms would most likely use process costing?
A. Superior Auto Body & Repair
B. Crammond Custom Cabinets
C. Sunshine Soft Drinks
D. Jackson & Taylor Tax Service

26. The normal cost for support activity was estimated to be $400,000 for the year and the average usable capacity was estimated to be 20,000 direct labor hours. The actual cost for support activity was $415,000 and actual direct labor hours were 21,000. The activity rate for support activity is:
A. $20.00
B. $0.05
C. $20.75
D. $19.05

27. Conversion costs consist of
A. all costs of production.
B. raw materials and direct labor.
C. direct labor and manufacturing overhead.
D. raw materials and manufacturing overhead.

28. Which of the following accounts will be treated differently by a process costing system than by a job order costing system?
A. Raw Materials Inventory
B. Work in Process Inventory
C. Finished Goods Inventory
D. Cost of Goods Sold

29. When Shasta, Inc. sells 40,000 units, its total variable cost is $96,000. What is its total variable cost when it sells 45,000 units?
A. $84,000
B. $96,000
C. $108,000
D. It cannot be determined from the information given.

30. Which of the following is a variable cost?
A. A cost that is $20,000 when production is 50,000, and $20,000 when production is
70,000.
B. A cost that is $20,000 when production is 50,000, and $28,000 when production is
70,000.
C. A cost that is $20,000 when production is 50,000, and $40,000 when production is
70,000.
D. A cost that is $40,000 when production is 50,000, and $40,000 when production is
70,000.

31. When Bosco Inc. sells 40,000 units, its total fixed cost is $96,000. What is its total fixed cost when it sells 45,000 units?
A. $84,000
B. $96,000
C. $108,000
D. It cannot be determined from the information given.

32. Arnold Corp has a selling price of $20, variable costs of $15 per unit, and fixed costs of $25,000. If Arnold sells 12,000 units, the contribution margin ratio will equal
A. $60,000
B. 25%
C. 14.6%
D. 10.4%

33. Allain Corp has a selling price of $30, and variable costs of $20 per unit. When 12,000 units are sold, profits equaled $70,000. How many units must be sold to break-even?
A. 19,000
B. 12,000
C. 14,333
D. 5,000

34. Alfred Corp has a selling price of $25per unit, variable costs of $20 per unit, and fixed costs of $25,000. What sales revenue is needed to break-even?
A. $100,000
B. $5,000
C. $125,000
D. $50,000

35. Gavin Inc. currently sells 15,000 units a month for $50 each, has variable costs of $20 per unit, and fixed costs of $300,000. Gavin is considering increasing the price of its units to $60 per unit. This will not affect costs, but demand is expected to drop 20%. Should Gavin increase the cost of its product?
A. Yes, profit will increase $30,000.
B. Yes, profit will increase $150,000.
C. No, profit will decrease $150,000.
D. No, profit will decrease $30,000.

36. Nikko Corp sells two products. Product A sells for $100 per unit, and has unit variable costs of $60. Product B sells for $70 per unit, and has unit variable costs of $50. Currently, Nikko sells three units of product B for every one unit of product A sold. Nikko has fixed costs of $750,000. What is Nikko's break-even point in units?
A. 30,000 units of A and 30,000 units of B
B. 7,500 units of A and 22,500 units of B
C. 22,500 units of A and 7,500 units of B
D. 15,000 units of A and 15,000 units of B

37. Which of the following statements is false?

A. Sunk costs are never relevant.

B. Sunk costs are costs that occurred in the past.
C. To be relevant, a cost must be an opportunity cost.
D. To be relevant, a cost must occur in the future.


38. The manager of Jiffy Inc. is trying to decide whether to make or buy a component of the product they sell. Which of the following costs and benefits is not relevant to the decision?
A. Direct labor cost involved in making the component.
B. The purchase price of the component if it is bought.
C. Variable manufacturing overhead involved in making the component.
D. The selling price of the product.

39. The law firm of Ginger and Maddux is examining its client base to determine how profitable its regular clients are. Its analysis indicates that Furber, Inc. paid $128,000 in fees last year, but cost the firm $149,000 ($120,000 in billable labor, supplies, and copying, and $29,000 in allocated common fixed costs). If Ginger and Maddux dropped Furber, Inc. as a client, how would profit be affected?
A. $0
B. Increase $21,000
C. Decrease $8,000
D. Decrease $128,000

40. Anders Corp produces three products, and is currently facing a labor shortage. The selling price, costs, and labor requirements of the three products are as follows:

Anders has unlimited demand for all its products. Which product/s should Anders Corp produce to maximize profit during the labor shortage?

A. Product A only
B. Product B only
C. Product A and B
D. Product A, B, and C

Customer: replied 3 years ago.
Do you think that you will finish by 11:45 @ the latest? My email isXXX@XXXXXX.XXX. I am willing to pay you $60.
Expert:  Linda_us replied 3 years ago.
I will finish it by 11:15. Stay online.
Customer: replied 3 years ago.
Thank You Linda!!!
Expert:  Linda_us replied 3 years ago.
For Question 40, I am not able to view image.
Customer: replied 3 years ago.
Product A Product B Product C
Selling price: $50.00 $30.00 $40.00
Variable Costs: $35 $10 $30
Direct Labor hours/unit: 1.5 3 2

Sorry
Expert:  Linda_us replied 3 years ago.
THIS ANSWER IS LOCKED!
You can view this answer by clicking here to Register or Login and paying $3.
If you've already paid for this answer, simply Login.
Linda_us, Finance, Accounts & Homework Tutor
Category: Homework
Satisfied Customers: 7139
Experience: Post Graduate Diploma in Management (MBA)
Linda_us and 6 other Homework Specialists are ready to help you

JustAnswer in the News:

 
 
 
Ask-a-doc Web sites: If you've got a quick question, you can try to get an answer from sites that say they have various specialists on hand to give quick answers... Justanswer.com.
JustAnswer.com...has seen a spike since October in legal questions from readers about layoffs, unemployment and severance.
Web sites like justanswer.com/legal
...leave nothing to chance.
Traffic on JustAnswer rose 14 percent...and had nearly 400,000 page views in 30 days...inquiries related to stress, high blood pressure, drinking and heart pain jumped 33 percent.
Tory Johnson, GMA Workplace Contributor, discusses work-from-home jobs, such as JustAnswer in which verified Experts answer people’s questions.
I will tell you that...the things you have to go through to be an Expert are quite rigorous.
 
 
 

What Customers are Saying:

 
 
 
  • Wonderful service, prompt, efficient, and accurate. Couldn't have asked for more. I cannot thank you enough for your help. Mary C. Freshfield, Liverpool, UK
< Last | Next >
  • Wonderful service, prompt, efficient, and accurate. Couldn't have asked for more. I cannot thank you enough for your help. Mary C. Freshfield, Liverpool, UK
  • This expert is wonderful. They truly know what they are talking about, and they actually care about you. They really helped put my nerves at ease. Thank you so much!!!! Alex Los Angeles, CA
  • Thank you for all your help. It is nice to know that this service is here for people like myself, who need answers fast and are not sure who to consult. GP Hesperia, CA
  • I couldn't be more satisfied! This is the site I will always come to when I need a second opinion. Justin Kernersville, NC
  • Just let me say that this encounter has been entirely professional and most helpful. I liked that I could ask additional questions and get answered in a very short turn around. Esther Woodstock, NY
  • Thank you so much for taking your time and knowledge to support my concerns. Not only did you answer my questions, you even took it a step further with replying with more pertinent information I needed to know. Robin Elkton, Maryland
  • He answered my question promptly and gave me accurate, detailed information. If all of your experts are half as good, you have a great thing going here. Diane Dallas, TX
 
 
 

Meet The Experts:

 
 
 
  • Manal Elkhoshkhany

    Tutor

    Satisfied Customers:

    4522
    More than 5000 online tutoring sessions.
< Last | Next >
  • http://ww2.justanswer.com/uploads/BU/BusinessTutor/2012-2-2_115741_Kouki2.64x64.jpg Manal Elkhoshkhany's Avatar

    Manal Elkhoshkhany

    Tutor

    Satisfied Customers:

    4522
    More than 5000 online tutoring sessions.
  • http://ww2.justanswer.com/uploads/ComputersGuru/2010-02-13_051118_Photo41.JPG LogicPro's Avatar

    LogicPro

    Engineer

    Satisfied Customers:

    3458
    Expert in Java C++ C C# VB Javascript Design SQL HTML
  • http://ww2.justanswer.com/uploads/LI/lindaus/2012-6-10_04811_IMG20120609164157.64x64.jpg Linda_us's Avatar

    Linda_us

    Finance, Accounts & Homework Tutor

    Satisfied Customers:

    3124
    Post Graduate Diploma in Management (MBA)
  • http://ww2.justanswer.com/uploads/chooser77/2009-08-18_162025_Chris.jpg Chris M.'s Avatar

    Chris M.

    M.S.W. Social Work

    Satisfied Customers:

    2385
    Master's Degree, strong math and writing skills, experience in one-on-one tutoring (college English)
  • http://ww2.justanswer.com/uploads/JawaadAhmed/2009-6-27_12137_SIs_SHadi.jpg F. Naz's Avatar

    F. Naz

    Chartered Accountant

    Satisfied Customers:

    1988
    Experience with chartered accountancy
  • http://ww2.justanswer.com/uploads/JK/jkcpa/2011-1-16_182614_jkcpa.64x64.jpg Bizhelp's Avatar

    Bizhelp

    CPA

    Satisfied Customers:

    1876
    Bachelors Degree and CPA with Accounting work experience
  • http://ww2.justanswer.com/uploads/avremote/photoa.jpg Seanna's Avatar

    Seanna

    Tutor

    Satisfied Customers:

    1781
    3,000+ satisfied customers, all topics, A+ work
 
 
 
Chat Now With A Tutor
Linda_us
Linda_us
3125 Satisfied Customers
Post Graduate Diploma in Management (MBA)