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ACCT 505 DEVRY WEEK 4 MIDTERM EXAM (4 DIFFERENT SETS)

ACCT 505 DeVry Week 4 Midterm Exam (4 Different Sets)

ACCT 505 DeVry Week 4 Midterm Exam Set 1

(MCQs & Explanatory)

Page One

1. (TCO A) Direct material cost is a part of:(Points : 6)

2. (TCO A) A cost incurred in the past that is not relevant to any current decision is classified as a(n): (Points : 6)

3. (TCO A) The cost of lubricants used to grease a production machine in a manufacturing company is an example of a(n): (Points : 6)

4. (TCO A) When the activity level is expected to increase within the relevant range, what effects would be anticipated with respect to each of the following?

5. (TCO F) Emco Company uses direct labor cost as a basis for computing its predetermined overhead rate. In computing the predetermined overhead rate for last year, the company included in direct labor cost a portion of indirect labor. The effect of this misclassification will be to: (Points : 6)

6. (TCO F) Which of the following statements about process costing system is incorrect?(Points : 6)

7. (TCO F) The weighted-average method of process costing differs from the FIFO method of process costing in that the weighted-average method: (Points : 6)

8. (TCO B) The contribution margin ratio always increases when the:(Points : 6)

9. (TCO B) The unit sales needed to attain the target profit is found by: (Points : 6)

10. (TCO E) In an income statement prepared using the variable costing method, variable selling and administrative expenses would: (Points : 6)

Page Two

1. (TCO A). The following data (in thousands of dollars) have been taken from the accounting records of Larklin Corporation for the just completed year…….. Required: Prepare a Schedule of Cost of Goods Manufactured statement in the text box below.(Points : 15)

2. (TCO F) The Indiana Company manufactures a product that goes through three processing departments. Information relating to activity in the first department during June is given below:……..The department started 290,000 units into production during the more info month and transferred 300,000 completed units to the next department………. (Points : 20)

3. (TCO B) A tile manufacturer has supplied the following data:………Calculate the company’s unit contribution ratioc. If the company increases its unit sales volume by 5% without increasing its fixed expenses, what would the company’s net operating income be? (Points : 25)

4. (TCO E) Lehne Company, which has only one ACCT505DeVryMidtermExam product, has provided the following data concerning its most recent month of operations:………The company produces the same number of units every month, although the sales in units here vary from month to month. The company’s variable costs per unit and total fixed costs have been constant from month to month……..(Points : 30)

ACCT 505 DeVry Week 4 Midterm Exam Set 2

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