Mgt Acc

Use the lecture folder to help you complete this guide. The more detail you can provide the better prepared for the test you will be.

Review the sample syllabus and sample rubric under the questions below. Then, provide answers underneath the following questions:

and types of questions) will be presented at the start of the class prior to the exam. The

This study guide prepares you for the Final Examination you complete in the last week of the course. It contains practice questions, which are related to each week’s objectives. Highlight the correct response, and then refer to the answer key at the end of this Study Guide to check your answers.

Three of the four questions below will appear on the exam and you will be asked to address all three. Maximum: Three sentences for each question.

The standard costs and variances for direct materials, direct labor, and factory overhead for the month of May are as follows:

The details of the three proposals that offer specific quantities of widgets and their prices are as follows. Greenleaf Manufacturing has offered to manufacture up to 6,000,000 widgets per year at a cost of $5.01 each. Sunrise LTD in Quanzhou, China has offered to manufacture 100% of Mrs. Smithson’s needs at a cost of $4.01 each. The third offer comes from Groupo Embarco located in Brazil offers to manufacture 10,000,000 widgets per year at a cost of $3.83 each, with the willingness to expand his operations to provide more widgets if required.

2. Lee Company manufactures chemical additives for industrial applications. As the new cost accountant for Lee, you have been assigned the task of completing the production cost report for January. Lee uses Weighted-Average Method of process costing. The following info pertains to January:

This issue reflects a problem with Integrity and Ethical Values factor of the internal environment. Policy is important to and the foundation of an effective ethics program. Policy addresses a variety of behavioral issues, such as integrity and ethics, conflicts of interest, illegal or otherwise improper payments, and anticompetitive arrangements. So there is no problem on this factor.

The following are study questions for the examination. The examination will be a closed-book examination.

Wilkerson employs a Normal Cost System, which means that they use predetermined overhead rates along with actual costs for direct material and direct labor. Normal costing systems are appropriate when overhead costs are a relatively small percentage of total manufacturing costs and product diversity is limited. For Wilkerson, normal costing does not make sense. Overhead costs make up over 50 percent of total manufacturing costs and their product offering is relatively more diverse. This indicates that the current accounting system in place may be distorting costs significantly. Supporting data:

This study guide is organized by lecture topics. Within each topic is listed the major areas that may be included on the examination. You are responsible for the content that falls within each major area.

Bhimani, A., Horngren, C., Datar, S., Rajan, M. et al. (2012) Management and Cost Accounting. 5th ed. Edinburgh: Prentice Hall, p.369 - 378.

INTRODUCTION Businesses – from manufacturing, merchandising and service industries alike – take careful consideration in the analysis of their costing systems in order to be able to set up competitive prices in the market. Misallocation of costs may lead to incorrect price estimates, continuous production of unprofitable products, and ineffective processing schedules. In this case study, we will discuss the costing methods which Zauner Ornaments have used or is currently using and, in conclusion, be able to distinguish the advantages and disadvantages of each costing method. CASE CONTEXT The case seeks to assist Zauner’s comptroller, Yu Chia-yi, in determining the best costing method for their overhead costs. In addition we also aim to

Ron Barber, CPA, is auditing the financial statements of DGF, Inc., a publicly held company. During the course of the audit, Barber discovered that DGF has been making illegal bribes to foreign government officials to obtain business, and he reported the matter to senior management and the board of directors of DGF.