No work shown only correct answers

1. The strategy map is a tool that is used: (Points : 2)
as one of the key aspects of the contemporary management environment
to enhance the sustainability of the organization
to link the perspectives of the balanced scorecard
to organize the critical success factors of a companyQuestion 2. 2. Value activities can best be defined as: (Points : 2)
Activities that firms in the industry must perform to improve a product.
Activities that firms in the industry must perform in the process of converting raw material to final product, including customer service.
Activities that firms in the industry must perform in the process of closing down a product line, including customer service.
Activities that firms in the industry must perform to consider ways of marketing a product.Question 3. 3. In a local factory, employees are rewarded for finding new and better ways of changing the way they work. This company is motivating its employees to use what management technique? (Points : 2)
Benchmarking.
Activity-Based Costing.
Theory of Constraints.
Continuous Improvement.
Total Quality Management.Question 4. 4. A firm succeeds on its ability to deliver products to customers more quickly than rival companies in its industry. This skill is an example of the firm’s: (Points : 2)
Core competency.
Research effectiveness.
Production efficiency.
Cost control effectiveness.Question 5. 5. Using value-chain analysis, a firm can develop a competitive advantage by specifically looking for ways to: (Points : 2)
Add value and reduce cost.
Improve manufacturing productivity.
Improve customer service.
Improve product quality.Question 6. 6. Assume the following information pertaining to a Company:
Prime costs = $195,000
Conversion Costs = $221,000
Direct Materials used = $85,000
Beginning Work-in-Process = $98,000
Ending Work-in-Process = $81,000
Cost of goods manufactured is calculated to be: (Points : 2)
$289,000.
$348,000.
$314,000.
$297,000.
$323,000.Question 7. 7. Tierney Construction, Inc. recently lost a portion of its financial records in an office theft. The following accounting information remained in the office files:
COGS = $80,000
WIP Inventory – January 1. = $18,500
WIP Inventory – December 31 = $14,500
Selling & Administrative Expenses = $16,000
Net Income = $30,000
Factory O/H = $20,000
Direct Materials Inventory, January 1= $26,000
Direct Materials Inventory, December 31= $14,000
COGM = $98,000
Finished Goods Inventory, January 1 = 31,000
Direct labor cost incurred during the period amounted to 2.5 times the factory overhead. The CFO of Tierney Construction, Inc. has asked you to recalculate the following accounts and to report to him by the end of tomorrow.
What should be the amount of direct materials used? (Points : 2)
$15,000.
$29,000.
$20,000.
$24,000.Question 8. 8. Process cost systems are used in all of the following industries except: (Points : 2)
Chemicals.
Ship building.
Oil refining.
Textiles.
Steel.Question 9. 9. Multistage ABC is used when: (Points : 2)
There are many departments in the organization.
Management wants a higher level of accuracy from the ABC calculations.
There are complex relationships among the activities.
To simplify the ABC calculations.Question 10. 10. The primary focus of job costing in service industries is on: (Points : 2)
Direct materials.
Direct labor.
Indirect materials.
Supplies.
Factory overhead.Question 11. 11. Abnormal spoilage: (Points : 2)
Is considered part of good production.
Arises under efficient operating conditions.
Is controllable in the short run.
Is unacceptable spoilage that should not occur under efficient operating conditions.
Is part of inventory product cost.Question 12. 12. Job costing in service industries uses recording procedures and accounts similar to those illustrated in the chapter except for: (Points : 2)
Direct labor.
Overhead costs.
Direct materials.
Cost drivers.Question 13. 13. Randall Company manufactures products to customer specifications. A job costing system is used to accumulate production costs. Factory overhead cost was applied at 125% of direct labor cost. Selected data concerning the past year’s operation of the company are presented below.
Direct Materials January 1 = $77,000
Direct Materials December 31 = 40,000
WIP January 1 = 66,000
WIP December 31 =

 

 

14. ABC Company uses a Materials Inventory account to record both direct and indirect materials. ABC charges direct materials to WIP, while indirect materials are charged to the Factory Overhead account. During the month of April, the company has the following cost information:
Total Materials (Direct and Indirect) Purchased = $ 90,000
Indirect Materials Issued to Production = 30,000
Total Materials Issued to Production = 110,000
Beginning Materials Inventory = 50,000
The ending materials inventory cost is: (Points : 2)
$110,000.
$30,000.
$90,000.
$80,000.Question 15. 15. Which of the following is an example of a physical measure used in the physical measure method? (Points : 2)
Pounds.
Minutes.
Seconds.
Dollars.
Volume.Question 16. 16. Joint products are products that: (Points : 2)
Have minor total sales value.
Have substantial sales value.
Come from different production processes.
Are marketed in a joint marketing program.Question 17. 17. Data collected on the cost objects and cost drivers for cost estimation must be: (Points : 2)
Brief and limited.
Exhaustive.
Concrete.
Consistent and accurate.
Varied.Question 18. 18. The p-value measures: (Points : 2)
The probability that the regression equation is reliable.
The statistical significance of the dependent variable.
The risk that a particular independent variable has only a chance relationship to the dependent variable.
The confidence range around the regression prediction.Question 19. 19. Firm X has a production process that has a total joint cost of $15,000. At the split-off point, there are 2,000 pounds of Product 1 and 3,000 pounds of Product 2. What is the cost per pound of Product 1 using the physical measure method? (Points : 2)
$2.50.
$3.00.
$3.50.
$4.00.Question 20. 20. Cleaning Care Inc. expects to sell 10,000 mops. Fixed costs (for the year) are expected to be $10,000, unit sales price is expected to be $12, and unit variable costs are budgeted at $7.
Cleaning Care’s margin of safety (MOS) in units is: (Points : 2)
1,000.
2,000.
4,000.
8,000.
9,000.Question 21. 21. Stylish Sitting is a retailer of office chairs located in San Francisco, California. Due to increased market competition, the CFO of Stylish Sitting has grown worried about the firm’s upcoming income stream. The CFO asked you to use the company financial information provided below.
Sales Price $75.00
Per Unit Variable Costs:
Invoice Cost 41.70
Sales Commission 18.30
Total Per Unit Variable Cost $60.00
Fixed Costs:
Advertising $ 56,000
Rent 78,000
Salaries 226,000
Total Annual Fixed Costs $360,000
If 40,000 office chairs were sold, Stylish Sitting’s operating income would be: (Points : 2)
$240,000.
$280,000.
$210,000.
$340,000.
$120,000.

 

 

 

 

 

22. In deciding between alternative choices for a given situation, managers usually employ a five-step process. Which of the following is not a step in the decision-making process? (Points : 2)
Evaluate performance.
Specify the criteria and identify the alternative actions.
Select and implement the best course of action.
Perform relevant and strategic cost analysis.
Review the audit report.Question 23. 23. Which of the following is NOT one of the more common strategic benefits provided by capital investment projects? (Points : 2)
Being able to deliver a product that competitors cannot (i.e., product differentiation).
Improving product quality.
Reducing manufacturing cycle time.
Reducing the number of short-term (i.e., operational) decisions that management must make.
Providing significant cost reductions, in terms of production and/or marketing costs.Question 24. 24. To make a decision whether to accept or reject a special sales order, managers need critical information about all the following except: (Points : 2)
Relevant costs.
Prior period operating costs.
Any opportunity costs.
The strategic, competitive environment of the firm.Question 25. 25. One of the key management functions is to perform a regular review of product profitability. Which question(s) below would not be asked when performing the analysis? (Points : 2)
Are the products priced properly?
Which products are the most profitable?
Which products should be advertised more aggressively?
Should any product manager be rewarded?
What was the product manager paid last year?Question 26. 26. For a typical capital investment project, the bulk of the investment-related cash outflow occurs: (Points : 2)
During the initiation stage of the project (i.e., at time period 0).
During the operation stage of the project.
Either during the initiation stage or the operation stage.
During neither the initiation stage nor the operation stage.
Evenly during all three stages: initiation, operation, and final disposal.Question 27. 27. Pique Corporation wants to purchase a new machine for $300,000. Management predicts that the machine can produce sales of $200,000 each year for the next 5 years. Expenses are expected to include direct materials, direct labor, and factory overhead (excluding depreciation) totaling $80,000 per year. The firm uses straight-line depreciation with no residual value for all depreciable assets. Pique’s combined income tax rate is 40%. Management requires a minimum after-tax rate of return of 10% on all investments.
What is the net present value (NPV) of the investment? (The PV annuity factor for 5 years, 10% is 3.791.) Assume that the cash inflows occur at year-end. (Points : 2)
($270,480).
$63,936.
$109,428.
$154,920.Question 28. 28. Carmino Company is considering an investment in equipment that will generate an after-tax income of $6,000 for each year of its four-year life. The asset has no salvage value. The firm is in the 40% tax bracket. The net book value (NBV) of the investment at the beginning of each year will be as follows:
Year 1 = $30,000
Year 2 = 15,000
Year 3 = 7,500
Year 4 = 3,750
The amount of after-tax cash inflow from the asset in Year 3 is: (Points : 2)
$6,600.
$7,500.
$8,100.
$9,000.
$9,750.Question 29. 29. Traditional financial control systems have recently been criticized because: (Points : 2)
They use flexible, not static, budgets.
They generally lead to goal-congruent behavior on the part of managers.
They focus more in improving basic business processes than short-term financial results.
They fail to incorporate nonfinancial performance indicators into the evaluation process.Question 30. 30. Electronic Component Company (ECC) is a producer of high-end video and music equipment. ECC currently sells its top of the line “ECC” DVD player for a price of $250. It costs ECC $210 to make the player. ECC’s main competitor is coming to market with a new DVD player that will sell for a price of $220. ECC feels that it must reduce its price to $220 in order to compete. The sales and marketing department of ECC believes the reduced price will cause sales to increase by 15%. ECC currently sells 200,000 DVD players per year.
Assuming sales and marketing are not correct in their estimation and the volume of sales is not changed and ECC meets the competitive price, what is the target cost if ECC wants to maintain its same income level? (Points : 2)
$210.
$200.
$190.
$180.

 

31. The difference between the flexible-budget operating income and the actual operating income in a period is the: (Points : 2)
Sales mix variance.
Sales volume variance.
Sales price variance.
Operating income flexible-budget variance.Question 32. 32. Reduced time-to-market, reduced expected service cost, and ease-of-manufacture are critical success factors at which stage of the cost life cycle? (Points : 2)
R&D.
Product planning and scheduling.
Product design.
Manufacturing.Question 33. 33. The difference between the actual fixed overhead cost incurred during a period and the budgeted fixed overhead cost for the period is the: (Points : 2)
Fixed overhead efficiency variance.
Fixed overhead production-volume variance.
Fixed overhead spending variance.
Fixed overhead rate variance.
Fixed overhead sales-volume variance.Question 34. 34. Operational control has a management-by-exception approach in contrast to management control, which is more consistent with: (Points : 2)
The management-by-incentives approach.
The management-by-objectives approach.
The “hands off” approach.
A non-quantitative set of measures.
A non-qualitative set of measures.Question 35. 35. Information concerning Johnston Co.’s direct materials costs is as follows:
Standard $ per Lb. $ 6.45
Actual Lbs. Purchased 2,850
Actual Lbs. Used in production 2,750
Units of Material Produced 700
Materials Purchase Price Variance $ 855(F)
Budget Data for the Period:
Units to Manufacture 1,000
Units of DM 4,000 Lbs.
The actual purchase price per pound of direct materials is: (Points : 2)
$6.12.
$6.15.
$6.50.
$6.75.
$7.13.Question 36. 36. The need for coordination between the production and the selling function will impact the choice of: (Points : 2)
Profit, cost or revenue center.
Manager for the firm.
Formal or informal control systems.
Profitability goal for the firm.
Control measures to prevent fraud.Question 37. 37. Controllable margin is determined by subtracting short-term controllable fixed costs from the: (Points : 2)
Long-term controllable fixed cost.
Contribution margin.
Variable costs.
Fixed costs.
Variable costs and fixed costs.Question 38. 38. Of most relevance in deciding how or which costs should be assigned to an SBU is the degree of: (Points : 2)
Avoidability.
Causality.
Controllability.
Reliability.Question 39. 39. Of the three basic forms of management compensation (salary, bonus, benefits), the fastest growing part of total compensation is: (Points : 2)
Salary.
Bonus.
Benefits.
Salary and bonus.Question 40. 40. SBU is the acronym for: (Points : 2)
Small Business Unit.
Sustainable Business Unit.
Standard Business Unit.
Strategic Business Unit.

 

 

41. The most important objective of a strategic performance measurement system is: (Points : 2)
Budgeting.
Motivation.
Authority.
Variances.
Pricing.Question 42. 42. The objectives of management compensation, when compared to the objectives used to develop performance measurement systems, are: (Points : 2)
More numerous.
Less specific.
Consistent in their objectives.
Significantly broader in scope.
More specific.Question 43. 43. Jackson Supply Company has a 2 to 1 current ratio. This ratio would increase to more than 2 to 1 if the company: (Points : 2)
Purchased a marketable security for cash.
Wrote off an uncollectible receivable.
Sold merchandise on account that earned a normal gross margin.
Purchased inventory on account.Question 44. 44. A company had income of $50,000 using variable costing for a given period. Beginning and ending inventories for that period were 80,000 units and 90,000 units, respectively. If the fixed overhead application rate were $10.00 per unit, what would operating income have been using full costing? (Points : 2)
$(50,000).
$170,000.
$150,000.
$0.
Cannot be determined from the information given.Question 45. 45. A method for determining a bonus based upon the performance of the unit is a(n): (Points : 2)
Segment-based pool.
Unit-based pool.
Firm-based pool.
Activity-based pool.
Function-based pool.Question 46. 46. Which one of the following has been the most common payment option for bonus compensation in recent years? (Points : 2)
Vacation time.
Stock options.
Increased benefits.
Salary increase.Question 47. 47. EVA is calculated as: (Points : 2)
EVA Net Income – (Cost of Capital x EVA Invested Capital).
Total Net Income – (Cost of Capital x Invested Capital).
Gross Income – Cost of Capital.
Total Net Income – EVA Net Income.
Accounting earnings adjusted for EVA.
Question 48. 48. The King Mattress Company had the following operating results for 2012-2013. In addition, the company paid dividends in both 2012 and 2013 of $60,000 per year and made capital expenditures in both years of $30,000 per year. The company’s stock price in 2012 was $8 and $7 in 2013. The industry average earnings multiple for the mattress industry was 9 in 2013 and the free cash flow and sales multiples were 18 and 1.5, respectively. The company is publicly owned and has 1,200,000 shares of outstanding stock at the end of 2013.
Balance Sheet, December 31
2013 2012
Cash $ 340,000 $ 100,000
Accounts Receivable 350,000 400,000
Inventory 250,000 300,000
Total Current Assets $ 940,000 $ 800,000
Long Lived Assets 1,080,000 1,100,000
Total Assets $ 2,020,000 $ 1,900,000
Current Liabilities $ 200,000 $ 300,000
Long-Term Liabilities 600,000 500,000
Stockholder’s Equity 1,220,000 1,100,000
Total Liabilities & Equity $ 2,020,000 $ 1,900,000Income Statement for the Year Ended December 31
Sales $ 4,750,000 $ 4,500,000
Cost of Sales 4,100,000 4,000,000
Gross Margin $ 650,000 $ 500,000
Operating Expenses 350,000 400,000
Operating Income $ 300,000 $ 100,000
Taxes 120,000 40,000
Net Income $ 180,000 $ 60,000Cash Flow from Operations
Net Income $ 180,000 $ 60,000
Plus Depreciation Expense 50,000 50,000
+Decrease (-Inc) in A/T and Inventory 100,000 – 0 –
+Increase (-Dec) in Current Liabilities (100,000) – 0 –
Cash Flow from Operations $ 230,000 $ 110,000The inventory turnover rat
The inventory turnover ratio for 2013 is (rounded): (Points : 2)
11.2
12.7
13.7
14.9

 

 

 

49. The King Mattress Company had the following operating results for 2012-2013. In addition, the company paid dividends in both 2012 and 2013 of $60,000 per year and made capital expenditures in both years of $30,000 per year. The company’s stock price in 2012 was $8 and $7 in 2013. The industry average earnings multiple for the mattress industry was 9 in 2013 and the free cash flow and sales multiples were 18 and 1.5, respectively. The company is publicly owned and has 1,200,000 shares of outstanding stock at the end of 2013.
Balance Sheet, December 31
2013 2012
Cash $ 340,000 $ 100,000
Accounts Receivable 350,000 400,000
Inventory 250,000 300,000
Total Current Assets $ 940,000 $ 800,000
Long Lived Assets 1,080,000 1,100,000
Total Assets $ 2,020,000 $ 1,900,000
Current Liabilities $ 200,000 $ 300,000
Long-Term Liabilities 600,000 500,000
Stockholder’s Equity 1,220,000 1,100,000
Total Liabilities & Equity $ 2,020,000 $ 1,900,000
Income Statement for the Year Ended December 31
Sales $ 4,750,000 $ 4,500,000
Cost of Sales 4,100,000 4,000,000
Gross Margin $ 650,000 $ 500,000
Operating Expenses 350,000 400,000
Operating Income $ 300,000 $ 100,000
Taxes 120,000 40,000
Net Income $ 180,000 $ 60,000
Cash Flow from Operations
Net Income $ 180,000 $ 60,000
Plus Depreciation Expense 50,000 50,000
+Decrease (-Inc) in A/T and Inventory 100,000 – 0 –
+Increase (-Dec) in Current Liabilities (100,000) – 0 –
Cash Flow from Operations $ 230,000 $ 110,000The current ratio for 2013 is: (Points : 2)
1.8
2.0
3.9
4.7Question 50. 50. During October, Rover Industries produced 35,000 units of product with costs as follows:
DM = $ 84,000
DL = 43,000
Variable O/H = 13,000
Fixed O/H = 147,000
Total =$ 287,000
What is Rover’s unit cost for October, calculated on the variable costing basis? (Points : 2)
$3.25.
$3.75.
$4.00.
$4.50.
$5.00.

 

 

Academic Brigade
Calculate your paper price
Pages (550 words)
Approximate price: -

Why Work with Us

Top Quality and Well-Researched Papers

We always make sure that writers follow all your instructions precisely. You can choose your academic level: high school, college/university or professional, and we will assign a writer who has a respective degree.

Professional and Experienced Academic Writers

We have a team of professional writers with experience in academic and business writing. Many are native speakers and able to perform any task for which you need help.

Free Unlimited Revisions

If you think we missed something, send your order for a free revision. You have 10 days to submit the order for review after you have received the final document. You can do this yourself after logging into your personal account or by contacting our support.

Prompt Delivery and 100% Money-Back-Guarantee

All papers are always delivered on time. In case we need more time to master your paper, we may contact you regarding the deadline extension. In case you cannot provide us with more time, a 100% refund is guaranteed.

Original & Confidential

We use several writing tools checks to ensure that all documents you receive are free from plagiarism. Our editors carefully review all quotations in the text. We also promise maximum confidentiality in all of our services.

24/7 Customer Support

Our support agents are available 24 hours a day 7 days a week and committed to providing you with the best customer experience. Get in touch whenever you need any assistance.

Try it now!

Calculate the price of your order

Total price:
$0.00

How it works?

Follow these simple steps to get your paper done

Place your order

Fill in the order form and provide all details of your assignment.

Proceed with the payment

Choose the payment system that suits you most.

Receive the final file

Once your paper is ready, we will email it to you.

Our Services

No need to work on your paper at night. Sleep tight, we will cover your back. We offer all kinds of writing services.

Essays

Essay Writing Service

No matter what kind of academic paper you need and how urgent you need it, you are welcome to choose your academic level and the type of your paper at an affordable price. We take care of all your paper needs and give a 24/7 customer care support system.

Admissions

Admission Essays & Business Writing Help

An admission essay is an essay or other written statement by a candidate, often a potential student enrolling in a college, university, or graduate school. You can be rest assurred that through our service we will write the best admission essay for you.

Reviews

Editing Support

Our academic writers and editors make the necessary changes to your paper so that it is polished. We also format your document by correctly quoting the sources and creating reference lists in the formats APA, Harvard, MLA, Chicago / Turabian.

Reviews

Revision Support

If you think your paper could be improved, you can request a review. In this case, your paper will be checked by the writer or assigned to an editor. You can use this option as many times as you see fit. This is free because we want you to be completely satisfied with the service offered.