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 Neo Your Own Question

Neo
Neo, Tutor
Category: Homework
Satisfied Customers: 12044
Experience:  BS Accounting
Type Your Homework Question Here...
Neo is online now
A new question is answered every 9 seconds

Could you help me another one Neo? (or tomorrow?)

Resolved Question:

This would be the last one!


Thanks.  

Submitted: 2 years ago.
Category: Homework
Expert:  Neo replied 2 years ago.
No problem but you have not accepted the last set yet.

Customer: replied 2 years ago.

 

Oops, sorry. I just did.

Expert:  Neo replied 2 years ago.

No problem. :)

Customer: replied 2 years ago.

 

So, could you help me right now? or tomorrow morning again..?

Customer: replied 2 years ago.

 

Oh, never mind. What time are you available tomorrow?

Expert:  Neo replied 2 years ago.

I will be available tomorrow at 8AM.

Customer: replied 2 years ago.
Good morning Neo!
Expert:  Neo replied 2 years ago.
Good morning! :)

I am ready now.

Customer: replied 2 years ago.
1. Which of the following is correct concerning reactions to INCREASES in activity?

a. Total Variable Cost
b. Variable Cost Per Unit

(Points : 2)
a. Increases, b. Decreases
a. Constant, b. Decreases
a. Decreases, b. Constant
a. Increases, b. Constant

2. A mattress manufacturer has provided the following cost data. The cost of fabric, foam, springs, and lumber is $68,000. The cost of indirect materials is $21,000. Labor cost of assembly workers is $52,000 and for production supervisors is $14,000. How much indirect cost is included in the above costs? (Points : 2)
$21,000
$35,000
$89,000
$103,000

3. How much sunk cost is represented in the following list?

Annual operating cost $80,000
Fixed operating costs other than depreciation $14,000
Resale value, if sold now $25,000
Original cost of current machine $68,000

(Points : 2)
$80,000
$14,000
$25,000
$68,000

4. Rotonga Manufacturing Company leases a vehicle that it uses to deliver its finished products to customers. Which of the following terms could be used to correctly describe the monthly lease payments made on the delivery vehicle?

a. Direct Cost
b. Fixed Cost

(Points : 2)
a. Yes, b. Yes
a. Yes, b. No
a. No, b. Yes
a. No, b. No

5. A manufacturing plant produces two product lines: football equipment and hockey equipment. An indirect cost for the hockey equipment line is the: (Points : 2)
material used to make the hockey sticks
labor to bind the shaft to the blade of the hockey stick
shift supervisor for the hockey line
plant supervisor

6. At a sales volume of 20,000 units, Choice Corporation's sales commmissions (a cost that is variable with respect to sales volume) total $132,000.

To the nearest whole cent, what should be the average sales commission per unit at a sales volume of 18,500 units? (Assume that this sales volume is within the relevant range.)

(Points : 2)
$6.60
$6.87

$7.17
$7.14

7. The potential benefit that is given up when one alternative is selected over another is called: (Points : 2)
A sunk cost.
An opportunity cost.
Both a sunk cost and an opportunity cost.
Neither a sunk cost nor an opportunity cost.

8. An example of a fixed cost that would be considered a direct cost is: (Points : 2)
a cost accountant's salary when the cost object is a unit of product.
the rental cost of a warehouse to store a finished goods when the cost object is the Purchasing Department.
a production supervisor's salary when the cost objective is the Production department.
Board of Director's fees when the cost object is the Marketing Department.

9. An example of a cost object is: (Points : 2)
a product
a customer
a department
All of these are correct.

10. When the level of activity decreases within the relevant range, the fixed cost per unit will: (Points : 2)
decrease.
increase.
remain the same.
The effect cannot be predicted.

11. Haala Inc. is a merchandising company. Last month the company's cost of goods sold was $68,000. The company's beginning merchandise inventory was $11,000 and its ending merchandise inventory was $17,000. What was the total amount of the company's merchandise purchases for the month? (Points : 2)
$96,000
$62,000
$68,000
$74,000

12. A sunk cost is: (Points : 2)
a cost that is planned to be incurred in the near future.
irrelevant for decision making.
a cost connected with drilling for oil
affected by changes in the level of activity.

13. Mark is an engineer who has designed a telecommunications device. He is convinced that there is a big potential market for the device. Accordingly, he has decided to quit his present job and start a company to manufacture and market the device.

Mark purchased a machine two years ago to make experimental boards. The machine will be used to manufacture the new board. The cost of this machine is:

(Points : 2)
an opportunity cost
a sunk cost
a differential cost
a period cost

14. Cost distortion is common in conventional costing systems because: (Points : 2)
of the recent change in cost structure
the number of products being manufactured is increasing
fixed costs are allocated using a volume measure
fixed costs create higher risks for a company

15. At a sales volume of 38,000 units, Tirri Corporation's property taxes (a cost that is fixed with respect to sales volume) total $733,400.

To the nearest whole dollar, what should be the total property taxes at a sales volume of 37,200 units? (Assume that this sales volume is within the relevant range.)

(Points : 2)
$725,680
$733,400
$749,172
$717,960

16. Indirect manufacturing costs: (Points : 2)
can be traced to the product that created the costs
may have a cause-and-effect relationship with capacity rather than with individual units of production
generally include the cost of material and the cost of labor
are included in period costs

17. A manufacturing plant produces two product lines: football equipment and hockey equipment. Direct costs for the football equipment line are the: (Points : 2)
beverages provided daily in the plant break room
monthly lease payments for a specialized piece of equipment needed to manufacture the football helmet
salaries of the clerical staff that work in the company administrative offices
utilities paid for the manufacturing plant


18. At a sales volume of 38,000 units, Tirri Corporation's property taxes (a cost that is fixed with respect to sales volume) total $733,400.

To the nearest whole center, what should be the average property tax per unit at a sales volume of 37,300 units? (Assume that this sales volume is within the relevant range.)

(Points : 2)
$19.30
$19.66
$19.72
$19.48

19. A recent college graduate has the choice of buying a new auto for $20,000 or to invest the money for four years with a 12% expected rate of return. If the graduate decides to purchase the auto, the BEST estimate of the opportunity cost of that decision is: (Points : 2)
$2,400
$11,470
$20,000
There is no opportunity cost for this decision.

20. The fixed portion of the cost of electricity for a manufacturing plant is:

a. Period cost
b. Product cost

(Points : 2)
a. Yes, b. No
a. Yes, b. Yes
a. No, b. Yes
a. No, b. No
Expert:  Neo replied 2 years ago.
THIS ANSWER IS LOCKED!

You need to spend $3 to view this post. Add Funds to your account and buy credits.
Neo, Tutor
Category: Homework
Satisfied Customers: 12044
Experience: BS Accounting
Neo and 9 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:

    4520
    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:

    4520
    More than 5000 online tutoring sessions.
  • 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:

    3121
    Post Graduate Diploma in Management (MBA)
  • http://ww2.justanswer.com/uploads/ComputersGuru/2010-02-13_051118_Photo41.JPG LogicPro's Avatar

    LogicPro

    Engineer

    Satisfied Customers:

    3035
    Expert in Java C++ C C# VB Javascript Design SQL HTML
  • http://ww2.justanswer.com/uploads/lanis/2009-4-1_233717_phput9xef_c1pm.jpg Lani S.'s Avatar

    Lani S.

    Tutor

    Satisfied Customers:

    2457
    Registered Nurse, Internet Researcher, Private Tutor
  • 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:

    2341
    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:

    1975
    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:

    1873
    Bachelors Degree and CPA with Accounting work experience