Managerial Accounting Exam 1 WileyPlus| 109 questions| with complete solutions

Which one of the following does not appear on the balance sheet of a manufacturing company? Finished goods inventory Work in process inventory Raw materials inventory Cost of goods manufactured correct answer: Cost of goods manufactured The wages of a timekeeper in the factory would be classified as a period cost. direct labor. indirect labor. compliance costs. correct answer: indirect labor. Managerial accounting applies to each of the following types of businesses except managerial accounting applies to all types of firms. service firms. merchandising firms. manufacturing firms. correct answer: managerial accounting applies to all types of firms. Managerial accounting applies to all forms of business organizations. True False correct answer: True Direct materials and direct labor are the only product costs. True False correct answer: False Which one of the following is not a direct material? Plastic used in the covered case for a home PC Steel used in the manufacturing of steel-radial tires A tire used for a lawn mower Lubricant for a ball-bearing joint for a large crane correct answer: Lubricant for a ball-bearing joint for a large crane Because of automation, which component of product cost is declining?