Please see attachment of questions. Accounting questions are attached. Please use the attached worksheet for answers.

Question 1 1. Managerial accounting stresses accounting concepts and procedures that are relevant to preparing reports for A. investors and banks. B. internal users of accounting information. C. shareholders and creditors. D. the Securities and Exchange Commission (SEC). Question 2 1. Which of the following is not a reason that current period performance results may differ from the company's budget for that period? A. The plan may not have been followed properly. B. The plan may not have been followed properly. C. Changing circumstances may have made the plan out of date. D. All of the above are reasons that actual results may differ from the company's plan. Question 3 1. Wilson Company's managers investigate departures from the budget that appear to be significant. What principle is being followed? A. Small amounts do not matter B. Management by exception C. Incremental analysis D. You get what you measure Question 4 1. The fundamental difference between managerial and financial accounting is that A. all financial accounting information is audited by Certified Public Accountants whereas managerial accounting information is audited by the IMA. B. managerial accounting is concerned principally with budgets, whereas financial accounting is concerned with a wider range of the organization's activities. C. managerial accounting provides information for decision-makers within the organization, whereas financial accounting provides information for individuals and institutions external to the organization. D. financial accounting information follows U.S. Generally Accepted Accounting Principles, whereas managerial accounting information generally follows rules set forth by the Institute of Management Accountants. Question 5 1. Rincon Gifts had the following costs in May when 400 ceramic pots were produced: materials, $4,200; labor cost, $1,600; depreciation, $800; rent, $700; and other fixed costs, $500. Which one of the following is the correct cost for Rincon? A. The fixed cost per unit is $3.75 B. The variable cost per unit is $14.50 C. The fixed cost per unit is $19.50 D. The total cost per unit is $14.50 Question 6 1. Good Buy Electronics has been offered $21,600 to produce 12,000 external hard drives for a customer. Good Buy has budgeted sales of 200,000 hard drives totaling $500,000, with fixed costs of $260,000 and total costs of $420,000. Assuming that Good Buy has the capacity to produce the additional units and that accepting this order will not affect any other orders, what effect will accepting the order have on Good Buy's profit? A. Incremental profit will increase by $21,600 B. Incremental profit will decrease by $9,600 C. Incremental profit will increase by $12,000 D. Incremental profit will decrease by $3,600 Question 7 1. Westerhouse manufactures refrigerators. Which of the following items is most likely considered an indirect material cost for Westerhouse? A. Supplies used by the factory janitor B. Gasoline costs for trucks used to deliver products to customers C. Glass shelves for the refrigerators D. Refrigerator motors Question 8 1. Which of the following is not a period cost? A. Advertising costs B. Accounting staff salaries C. Direct materials D. Depreciation of accounting office equipment Question 9 1. Which of the following lists presents the accounts in the order in which product costs flow? A. Cost of Goods Sold, Work in Process Inventory, Raw Materials Inventory, Finished Goods Inventory B. Work in Process Inventory, Finished Goods Inventory, Cost of Goods Sold, Raw Materials Inventory C. Raw Materials Inventory, Finished Goods Inventory, Work in Process Inventory, Cost of Goods Sold D. Raw Materials Inventory, Work in Process Inventory, Finished Goods Inventory, Cost of Goods Sold Question 10 1. On December 31, 2013, Barnett Tools has a balance in the Work in Process Inventory account of $62,000. On January 1, 2013, the balance in Work in Process Inventory was $55,000. Current manufacturing costs for the year are $292,000, and cost of goods sold is $284,000. How much is cost of goods manufactured? A. $292,000. B. $299,000. C. $277,000. D. $285,000. Question 11 1. The balance in the Finished Goods Inventory account on July 31, 2011, was $41,000 and the June 30, 2011, balance in the Finished Goods Inventory account was $34,000. Cost of goods sold is $200,000 and direct materials used in production total $86,000. How much is cost of goods manufactured? A. $286,000. B. $193,000. C. $207,000. D. Not enough information is provided. Question 12 1. A job-order costing system is most likely to be used by a A. soft-drink bottler. B. breakfast cereal manufacturer. C. paint manufacturer. D. caterer. Question 13 1. Cost of goods manufactured equals $44,000 for 2013. Finished goods inventory is $2,500 at the beginning of the year and $5,500 at the end of the year. Total manufacturing overhead applied is $4,500. Beginning and ending work in process for 2013 are $6,000 and $5,000 respectively. How much is cost of goods sold for the year? A. $41,000. B. $47,000. C. $43,000. D. More information is needed. Question 14 1. Wilson Company applies overhead using machine hours as the allocation base, at a rate of $15 per machine hour. Job 44 requires $320 worth of material, 11 hours of labor at $16 per hour and 9 machine hours. What is the cost of job 44? A. $496. B. $135. C. $661. D. $631. Question 15 1. Which of the following companies will most likely use a process costing system? A. A law office B. A custom home builder C. A car repair business D. A food manufacturer Question 16 1. Which of the following sequences describes the typical flow of costs in a company that is using process costing? A. Raw Materials Inventory, Work in Process, Finished Goods, Cost of Goods Sold B. Work in Process, Finished Goods, Raw Materials Inventory, Cost of Goods Sold C. Raw Materials Inventory, Cost of Goods Sold, Work in Process, Finished Goods D. Finished Goods, Raw Materials Inventory, Work in Process, Cost of Goods Sold Question 17 1. When direct labor costs are incurred in the Mixing Department, the journal entry to record the transaction includes a A. debit to Wages Payable. B. credit to Manufacturing Overhead. C. credit to Work in Process, Mixing Department. D. debit to Work in Process, Mixing Department. Question 18 1. The Baking Department began the period with 16,000 units which were 45% complete. During the period, the department received another 78,000 units from the previous department, and at the end of the period, 9,000 units remained which were 40% complete. Conversion costs are added evenly throughout the process and materials are added at the beginning of the process. How much are equivalent units for conversion costs in the Baking Department's Work in Process inventory at the end of the period? A. 5,400 units B. 3,600 units C. 3,000 units D. 9,000 units Question 19 1. Mash Company uses process costing. During March, its Varnishing Department incurred costs of $63,250 for conversion. The beginning inventory was 1,500 units and 9,700 units were transferred to the Varnishing Department from the Sanding Department during March. The Varnishing Department's conversion costs in beginning inventory totaled $5,554. The ending inventory consisted of 1,200 units that were 25% complete with respect to conversion costs. Materials are added at the beginning of the process. What is the cost per equivalent unit for conversion costs? A. $6.14 B. $6.88 C. $5.42 D. $6.38 Question 20 1. Jeffery Ltd uses a process costing system. Its Spackling Department had no beginning Work in Process inventory. The department added direct materials of $200,000 and conversion costs of $321,300 during the period. Materials are added at the beginning of the process and conversion costs are added evenly throughout the process. During the period 75,000 units were completed, and at the end of the period, 5,000 units remained which were 30% complete. How much is transferred to the Finished Goods inventory account during the period? A. $521,300. B. $488,719. C. $502,500. D. $556,053. Question 21 1. When the level of activity increases, total fixed costs A. decrease. B. remain the same within the relevant range. C. decrease inversely with the change in activity. D. increase within the relevant range. Question 22 1. Which of the following is not a method tht is used to estimate variable and fixed costs? A. Account analysis B. High-low method C. CVP analysis D. Regression analysis Question 23 1. A significant weakness of the high-low method is that A. a significant amount of management expertise is necessary to break out the variable and fixed costs. B. the two data points that are used may not be representative of the general relationship between cost and activity C. the calculations are so complex that a computer is usually necessary in order to get accurate results. D. monthly data must be collected for at least three years before the method can be used. Question 24 1. Ranger Pressure Cleaners has total monthly costs of $5,800 when 3,200 units are produced and $6,425 when 3,700 units are produced. If the high-low method is used, how much is the estimated total monthly fixed cost? A. $625. B. $6,113. C. $7,250. D. $1,800. Question 25 1. Diva Products produces scarves. The estimated fixed costs for the year are $164,500, and the estimated variable costs per unit are $9. The company expects to produce and sell 40,000 scarves at a unit selling price of $16 per unit. How much is the break-even point in units? A. 6,580 units B. 10,300 units C. 23,500 units D. 376,000 units Question 26 1. The president of DynaMark will not receive a bonus next year unless the company's profits are at least $435,000. DynaMark sells a single product at a price of $27 per unit. If variable costs are $12 per unit and fixed costs total $150,000, what amount of unit sales must DynaMark generate in order for the president to receive a bonus? A. 48,750 units B. 39,000 units C. 29,000 units D. 21,167 units Question 27 1. Which of the following is accounted for as a product cost in variable costing? A. Product delivery costs to customers B. Variable manufacturing overhead C. Fixed manufacturing overhead D. Product advertising costs Question 28 1. In full costing, when does fixed manufacturing overhead become an expense? A. In the period when all other fixed costs are expensed B. In the period when the product is sold C. In the period when the expense is incurred D. At the time units when are produced Question 29 1. Which of the following items appears on a variable costing income statement but not on a full costing income statement? A. Sales B. Gross margin C. Net income D. Contribution margin Question 30 1. Last month, Brand Products manufactured 25,000 calculators and sold 23,000 of these calculators at a price of $10.00 each. Manufacturing costs consisted of direct labor, $30,000; direct materials, $32,000; variable manufacturing overhead, $3,500; fixed manufacturing overhead, $21,500. Selling and administrative costs are all fixed and totaled $24,000. Beginning inventory consists of no units. What is Brand Products' net income using variable costing? A. $125,960. B. $149,960. C. $169,740. D. $124,240. Question 31 1. Indirect costs occur when A. resources are shared by more than one product or service. B. costs are directly traced to products or services. C. controllable costs are incurred by cost objectives. D. All of these answer choices are correct. Question 32 1. A major problem with cost-plus contracts is that they A. include costs that do not follow GAAP. B. cause the supplier to take significant financial risks. C. require the supplier to use variable costing. D. create an incentive to allocate as much cost as possible to the goods produced under the contract. Question 33 1. Which of the following is not a criterion typically used to allocate indirect fixed costs? A. Ability to bear costs B. Equity C. Feasible outcomes D. Relative benefits Question 34 1. Terrel Gifts produces logo platters and cups bearing the name of the city in which the items will be sold to tourists. Indirect logo printing costs are allocated to platters and cups based on the amount of time spent on the logo machine. The company has budgeted logo costs of $4,224 per month and expects to spend 4,800 hours on the printing logos each month. Each platter uses 24 minutes and each cup spends 6 minutes on the logo machine. How much of the logo printing costs will be allocated to each platter? A. $0.35 B. $0.88 C. $21.12 D. $8.12 Question 35 1. Freely Service provides residential and commercial monthly swimming pool cleaning services. Information on this service is as follows: Service revenue Direct materials Direct labor $140,000 18,000 44,000 Estimated travel costs for the month total $2,340 and are allocated to each client based on miles driven to each pool cleaning. The company estimates it will clean 50 residential pools and 80 commercial pools per month with 1,200 total miles used for commercial pools and 2,400 total miles used for residential pools. Because commercial pools are much larger, they take 3 hours to clean, while residential pools take a half hour each. During the month, the actual mileage totaled 2,600 miles. How much is the rate at which travel costs will be allocated to residential pools? A. $0.65 B. $0.975 C. $18.00 D. $8.83 Question 36 1. Which of the following is quite often not incremental? A. Direct labor B. Direct material C. Variable manufacturing overhead D. Fixed manufacturing overhead Question 37 1. A company is trying to decide whether to keep or drop the organic foods department in its grocery store. If organic foods are dropped, the manager will be laid off. What is the manager's salary in relation to the decision to keep or drop the department? A. An opportunity cost and therefore relevant B. Avoidable and therefore incremental C. Sunk and therefore not relevant D. The same for all alternatives and therefore not relevant Question 38 1. You have tickets to go to Jamaica over spring break. Just this week your best friend informs you that he (she) is getting married over spring break. Your friend would like you to stay back in the city and be the wedding attendant. The tickets to Jamaica are nonrefundable. Which of the following is a sunk cost relating to your decision of attending the wedding or going on the trip to Jamaica? A. The cost of the airline tickets to Jamaica B. The cost of wedding gift C. The cost of the clothing you will have to buy/rent to be in the wedding D. The cost of the rent on your apartment for the month Question 39 1. Abacus has 800 obsolete calculators that are carried in inventory at a cost of $1,920. If these calculators are upgraded at a cost of $3,100, they could be sold for $4,500. Alternatively, the calculators could be sold \"as is\" for $1,600. What is the net advantage or disadvantage of reworking the calculators? A. $1,400 advantage B. $2,900 advantage C. $5,440 disadvantage D. $200 disadvantage Question 40 1. Publix has 2,700 pounds of bananas with a total cost of $864. Because the bananas have become too ripe, Publix is contemplating whether it should use the bananas to bake banana bread or sell the bananas 'as is' to the homeless center for $1,485. In addition to the cost of the bananas, it would cost $2,565 to convert the bananas into bread, which could then be sold for a total of $4,480. However, a special oven to bake the bread will have to be rented for an additional $300. What is the incremental effect on income if Publix converts the bananas to banana bread? A. Increase of $130 B. Increase of $430 C. Decrease of $734 D. Increase of $1,615 Question 41 1. The following information is available for Lansing Closets for the fiscal year ending December 31, 2013. Beginning balance in Finished Goods Ending balance in Finished Goods Beginning balance in Work in Process Ending balance in Work in Process Selling expenses General and administrative expenses Direct material cost incurred Direct labor cost Manufacturing overhead applied Sales $ 12,000 10,200 15,500 17,200 102,000 67,000 54,000 71,000 36,300 367,000 Prepare an income statement for fiscal 2013. Ignore income taxes. Question 42 1. On November 1, Ranger Toys' Packaging Department had Work in Process inventory of 6,000 units that were 75% complete with respect to materials and 30% complete with respect to conversion costs. Ranger uses process costing. The cost of the beginning units was $93,525, of which $60,000 was transferred-in from previous departments, $26,775 in materials, and $6,750 in labor and overhead. During November, 125,000 units were transferred into the Packaging Department. These units had accumulated costs in previous departments of $1,218,560. The Packaging Department incurred costs of $756,225 for materials and $488,010 for conversion costs in November and transferred 130,000 units out of the department. The 1,000 units remaining in ending inventory are 50% complete with respect to materials and 20% complete with respect to conversion costs. a. Calculate the cost per equivalent unit for transferred-in costs, material, and conversion costs in the Packaging Department. b. Calculate the cost of the units transferred out of the Packaging Department c. Calculate the cost of the ending Work in Process inventory in the Packaging Department. Question 43 Conviser Tools, Inc. produces tape dispensers. The selling price is $12 per dispenser. The variable cost of production is $4.80 per dispenser and the fixed cost per month is $20,448. For November, the company expects to sell 3,100 tape dispensers. 1. a. Calculate expected profit. b. Calculate the margin of safety in dollars. Question 44 1. Nader, Inc. produces e-readers that it sells for $80 each. Costs involved in production are: Direct material Direct labor Variable manufacturing overhead Fixed manufacturing overhead per year $11 per unit 15 per unit 12 per unit $448,000 In addition, the company has selling and administrative costs: Fixed selling costs per year Fixed administrative costs per year Variable selling and admin costs per year $175,000 75,000 $6 per unit During the year, Nader produced 28,000 readers and sold 29,400. Beginning inventory totaled 1,800 units. Assume the same unit costs in all years. a. How much is net income using full costing? b. How much fixed manufacturing overhead is in ending inventory under full costing? Question 45 Hanson Inc. is operating at 60 percent of its capacity. Hanson has received an offer from a retail company to purchase 600 granite tables for $158 each. Hanson's accountants determined that the order can be accommodated within the excess capacity. The following costs information is provided: 1. Direct material Direct labor Manufacturing overhead Total $ 80 55 40 $175 Of the $40 of overhead, $18 is variable and $22 relates to fixed costs. The $22 of fixed overhead is allocated as $3.00 per direct labor hour. a. What will be the effect on profit if the order is accepted? b. Explain why managers who focus on the full reported cost per unit may be inclined to turn down the order. Question 46 1. Sausalita's Cantina has been approached by Luck & Dewey that wants to hold an employee recognition dinner next month. The restaurant manager agreed to a charge of $50 per person for food, wine, and dessert for 90 people. The manager estimates that the cost of the food will be $17 per person and beverages will be $15 per person. To be able to accommodate the group, the restaurant must be closed for dinner that night. Typically, 100 people with an average bill of $44 per person would be served each evening, with the cost of food estimated at $14 per person and beverages at $11 per person. No additional staff will need to be hired to accommodate the group from Luck & Dewey. a. In good form, prepare an incremental analysis to determine the effect on net income associated with accepting the Luck & Dewey group. b. What is the opportunity cost of accepting the Luck & Dewey group