SI Session #1: Close Out

Question 1

Managerial accounting is for internal users

a. True
b. False

Answer 1

a. True

Question 2

manufacturing accounting follows GAAP?

a. True
b. False

Answer 2

b. False

Question 3

Which of the following is a period cost?

a. Manufacturing overhead
b. Raw Materials
c. Selling and Administrative expenses
d. Direct labor

Answer 3

Selling and adminstrataive expenses

Question 4

What effect does an increase in the activity level have on: (Q 1-5)

a. Unit fixed costs? Decrease

b. Unit variable costs?

c. Total fixed costs?

d. Total variable costs?

Answer 4

a. Decrease
b. No change
c. No change
d. Increase