Which one of the following represents a period cost?

Fringe benefits associated with factory workers

Labor costs associated with quality control

Overhead allocated to the manufacturing operations

The VP of Sales' salary and benefi

For inventoriable costs to become expenses under the matching principle,

the product must be finished and in stock.

the product must be expensed based on its percentage-of-completion.

all accounts payable must be settled.

the product to which they attach must be sold

A manufacturing company reports cost of goods manufactured as a(n)

current asset on the balance sheet.

component of the raw materials inventory on the balance sheet.

administrative expense on the income statement.

component in the calculation of cost of goods sold on the income statement

Multiple Choice Question 100

On the costs of goods manufactured schedule, depreciation on factory equipment

is not listed because it is not a product cost.

is not an inventoriable cost.

is not listed because it is included with Depreciation Expense on the income statement.

appears in the manufacturing overhead section.

What is work in process inventory generally described as?

Beginning stage production costs associated with labor costs dealing with bringing in raw materials from the shipping docks

Costs applicable to units that have been started in production but are only partially completed

Costs associated with the end stage of manufacturing that are almost always complete and ready for customers

Costs strictly associated with direct labor

Which one of the following does not appear on the balance sheet of a manufacturing company?

Raw materials inventory

Finished goods inventory

Cost of goods manufactured

Work in process inventory

How have many companies significantly lowered inventory levels and costs?

They utilize a balanced scorecard system.

They have a just-in-time method.

They focus on total quality management.

They use activity-based costing.

What is balanced in the balanced scorecard approach?

The number of defects found on each product

The number of products produced

The amount of costs allocated to products

The emphasis on financial and non-financial performance measureme

Which one of the following characteristics would likely be associated with a just-in-time inventory method?

Minimal finished goods inventory on hand

A backlog of inventory orders not yet shipped

An understanding with customers that they may come to the showroom and select from inventory on hand

Ending inventory of work in process that would allow several production runs