Acct 505 Final Exam (Package)

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ACCT 505 Final Exam (Package)

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1. (TCO A) Wages paid to the factory maintenance supervisor are considered an example of: (Points : 5)

2. (TCO A) Rent on a manufacturing plant is an element of: (Points : 5)

3. (TCO B) Evergreen Corp. has provided the following data: (Points : 5)

4. (TCO B) Garth Company sells a single product. If the selling price per unit and the variable expense per unit both increase by 10% and fixed expenses do not change, then: (Points : 5)

5. (TCO E) Rebel Company manufactures a single product and has the following cost structure: Variable costs per unit:……………. (Points : 5)

6. (TCO F) Vagon Corporation has provided data concerning the company's Manufacturing Overhead account for the month of September. Prior to the closing of the overapplied or underapplied balance to Cost of Goods Sold, the total of the debits to the Manufacturing Overhead account was $76,000 and the total of the credits to the account was $86,000. Which of the following statements is true? (Points : 5)

7. (TCO G) The net present value (NPV) method of investment project analysis assumes that the project's cash flows are reinvested at the:………… (Points : 5)

8. (TCO G) Logan Company is considering two projects, A and B. The following information has been gathered on these projects:……….Based on this information, which of the following statements is (are) true? I. Project A has the highest ranking according to the profitability index criterion. II. Project B has the highest ranking according to the net present value criterion. (Points : 5) 9. (TCO B) Variable expenses for Alpha Company are 40% of sales. What are sales at the break-even point, assuming that fixed expenses total $150,000 per year: (Points : 5)

9. (TCO F) Elliott Company uses a predetermined overhead rate based on machine-hours to apply manufacturing...

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