Question

c. Total quality management (TQM) d. Research and development, and product design I uusines 1. Just-in-time (IT) inventory R. Sarbanes-Oxley Act (SOX) h. Global Reporting Initiative Exercises Ident E1.1 (LO 1), Justin Bleeber has prepared the following list of statements about managerial account ing, financial accounting, and the functions of management 1. Financial accounting focuses on providing information to internal users. 2. Stall positions are directly involved in the company's primary revenue generating activities 3. Preparation of budgets is part of financial accounting. 4. Managerial accounting applies only to merchandising and manufacturing companies 5. Both managerial accounting and financial accounting deal with many of the same economic events. 6. Managerial accounting reports are prepared only quarterly and annually. 7. Financial accounting reports are general-purpose reports. 8. Managerial accounting reports pertain to subunits of the business. 9. Managerial accounting reports must comply with generally accepted accounting principles 10. The company treasurer reports directly to the vice president of operations. Instructions Identify each statement as true or false. If false, indicate how to correct the statement. E1.2 (LO 2),C Presented below is a list of costs and expenses usually incurred by Barnum Corporation, a manufacturer of furniture, in its factory. 1. Salaries for assembly line inspectors. 2. Insurance on factory machines. 3. Property taxes on the factory building. 4. Factory repairs. 5. Upholstery used in manufacturing furniture. 6. Wages paid to assembly line workers. 7. Factory machinery depreciation. 8. Glue, nails, paint, and other small parts used in production, 9. Factory supervisors' salaries. 10. Wood used in manufacturing furniture. CL Instructions Classify the above items into the following categories: (a) direet materials, (b) direct labor, and (c) man- ufacturing overhead. E13 (LO 21. Trak Corporation incurred the following costs while manufacturing its bicycles $100,000 Advertising expense $45,000 Bicycle components 60,000 Property taxes on plant 14,000 1500 Delivery expense 21,000 Donation plant

Answer 1

Part 1

False

It focuses on providing information to external users

Part 2

False

Staff position indirectly affects the revenue-generating activities

Part 3

False

It is a part of managerial accounting

Part 4

True

It is applied universally

Part 5

True

There many same economic events involved in both managerial and financial accounting.

Part 6

False

It is financial accounting reports that are prepared at regular interval

Part 7

True

There is a preparation of financial statements for external users

Part 8

True

It is prepared at an operational level.

Part 9

False

Managerial accounting is not government by the U. S. GAAP. It is financial accounting that they must comply with the U. S. GAAP

Part 10

False

The company treasurer reports directly to the head of finance department.