Podcast
Questions and Answers
What category do completed items of production not yet sold fall under in a manufacturing company?
What category do completed items of production not yet sold fall under in a manufacturing company?
- Raw materials
- Indirect materials
- Finished goods (correct)
- Work in progress
Which type of materials are part-finished productions classified as in a manufacturing company?
Which type of materials are part-finished productions classified as in a manufacturing company?
- Raw materials
- Indirect materials
- Work in progress (correct)
- Finished goods
What is the main focus of controlling materials costs in manufacturing businesses?
What is the main focus of controlling materials costs in manufacturing businesses?
- Reducing indirect materials costs (correct)
- Minimizing direct materials costs
- Maximizing finished goods inventory
- Increasing work in progress levels
Which accounting term is used to describe materials that have not yet been incorporated into the finished product in a manufacturing process?
Which accounting term is used to describe materials that have not yet been incorporated into the finished product in a manufacturing process?
What are finished goods?
What are finished goods?
Which of the following is an example of indirect materials costs?
Which of the following is an example of indirect materials costs?
What is the purpose of purchasing procedures in a business?
What is the purpose of purchasing procedures in a business?
Which department in a large business is typically responsible for material procurement?
Which department in a large business is typically responsible for material procurement?
What step is NOT part of the buying process mentioned in the text?
What step is NOT part of the buying process mentioned in the text?
What is the first stage in the purchasing process as described in the text?
What is the first stage in the purchasing process as described in the text?
Who is usually required to authorize a purchase requisition form?
Who is usually required to authorize a purchase requisition form?
What is an essential reason for maintaining records in a business?
What is an essential reason for maintaining records in a business?
In a manufacturing organization, what typically follows the completion of a purchase requisition form?
In a manufacturing organization, what typically follows the completion of a purchase requisition form?
Which department is responsible for carrying out the necessary transaction after a purchase requisition form is completed?
Which department is responsible for carrying out the necessary transaction after a purchase requisition form is completed?
Why might a purchase requisition form need authorization from a senior person in the finance department?
Why might a purchase requisition form need authorization from a senior person in the finance department?
