Exam 3 review

Question 1

When updating the G/L, issuance/debt retirement & purchase/sale of investment securities are examples of ______ entries.

Accepted Answer

treasurer originated

Question 2

A measure of production efficiency that represents the number of "good" units produced in a given period of time.

Accepted Answer

Throughput

Question 3

A cost system that assigns costs to each process and then calculates the average cost for all units produced.

Accepted Answer

Process costing

Question 4

A document that records the employee's arrival and departure times for each work shift.

Accepted Answer

Time card

Question 5

A report listing customer account balances by length of time outstanding.

Accepted Answer

accounts receivable aging schedule

Question 6

When updating the G/L, sales, purchases, and production are examples of ________ entries.

Accepted Answer

accounting subsystem

Question 7

A cost system that assigns costs to specific production batches or jobs.

Accepted Answer

Job-order costing

Question 8

Software that stores and organizes individual employees' expertise so that knowledge can be shared and used by others.

Accepted Answer

Knowledge management systems

Question 9

The document created during sales order entry listing item numbers, quantities, prices, and sales terms.

Accepted Answer

sales order

Question 10

A ___ identifies the requisitioner, item numbers, descriptions, quantity, and price, and specifies delivery location

Accepted Answer

Purchase requisition

Question 11

A cash account with two characteristics: 1) set at a fixed amount; 2) voucher required for every disbursement

Accepted Answer

Imprest fund

Question 12

A document that specifies the part number, description, and quantity of each component used in a product.

Accepted Answer

Bill of materials

Question 13

Which of the following tasks are facilitated by maintaining a strong and secure audit trail?

Accepted Answer

All of the above are facilitated by the audit trail.

Question 14

A copy of the sales invoice returned with a customer's payment indicating invoice, statement or other items being paid

Accepted Answer

remittance advice

Question 15

A corporate credit card that employees can use only at designated suppliers to purchase specific kinds of items

Accepted Answer

Procurement card

Question 16

A document that records details about each delivery: date received, shipper, supplier, quantity

Accepted Answer

Receiving report

Question 17

Authorizes the removal of the necessary quantity of raw materials from the storeroom.

Accepted Answer

Materials requisition

Question 18

A listing of payroll data for each employee for a payroll period.

Accepted Answer

Payroll register

Question 19

A report listing the miscellaneous voluntary deduction for each employee.

Accepted Answer

Deduction register

Question 20

A cost system that designed to trace costs to the activities that create them.

Accepted Answer

Activity- based costing

Question 21

The reorder point is the inventory balance of an item that triggers an order to replenish inventory

Accepted Answer

True

Question 22

What system privileges should an employee involved in the general ledger and reporting system be given?

Accepted Answer

Only the specific privileges necessary to perform assigned duties.

Question 23

An adjusting entry made at an accounting period's end reflecting an exchange of cash before performance of related event

Accepted Answer

is a deferral entry

Question 24

A document listing the quantity and description of each item included in a shipment.

Accepted Answer

packing slip

Question 25

Document used by salaried professionals to record how much time was spent performing various tasks for specific clients.

Accepted Answer

Time sheet

Question 26

Which of the following are appropriate controls for the G/L and reporting system?

Accepted Answer

All of the above are appropriate.

Question 27

A ___ formally requests a supplier to sell & deliver specified products at designated prices - a contract when accepted

Accepted Answer

Purchase order

Question 28

An organization that maintains payroll master files for each client & performs payroll processing activities for a fee.

Accepted Answer

Payroll service bureau

Question 29

The optimal order size to minimize the sum of ordering, carrying, and stockout costs

Accepted Answer

Economic order quantity (EOQ)

Question 30

A document that lists the items and quantities ordered and authorizing release to shipping department.

Accepted Answer

picking ticket

Question 31

The G/L & reporting system consist of the ________ involved in ________ the general ledger and ________ reports.

Accepted Answer

information processing; updating; creating

Question 32

Computer-integrated manufacturing (CIM) performs and monitors the manufacturing process by computerized equipment.

Accepted Answer

True

Question 33

Which of the following user groups generally receive information produced by the general ledger and reporting system?

Accepted Answer

All of the above

Question 34

A document authorizing the manufacture of a specified quantity of a particular product.

Accepted Answer

Production order

Question 35

A document notifying customers of the amount of a sale and where to send payment

Accepted Answer

sales invoice

Question 36

Report listing the amount of gross pay, deductions, and net pay for the current period and YTD totals for each category.

Accepted Answer

Earnings statement

Question 37

A document, approved by the credit manager, authorizing the billing department to credit a customer's account

Accepted Answer

credit memo

Question 38

Which of the following controls can minimize the threat of loss or destruction of data?

Accepted Answer

Restriction of access to general ledger.

Question 39

Adjusting entries that reflect events that have already occurred, but have no effect on cash, are classified as

Accepted Answer

accruals.

Question 40

A document used to record a reduction to the balance due to a supplier

Accepted Answer

Debit memo

Question 41

Dccument authorizing purchase/production of items created when there is insufficient inventory to meet customer orders

Accepted Answer

back order

Question 42

Cash accounts associated with paying payroll are rarely imprest accounts.

Accepted Answer

False

Question 43

A legal contract that defines responsibility for goods while they are in transit

Accepted Answer

bill of lading

Question 44

Anything that has a cause-and-effect relationsip to costs.

Accepted Answer

Cost driver

Question 45

___ reduces inventory levels by improving forecasting techniques' accuracy to better match purchases to production

Accepted Answer

Materials requirements planning (MRP)

Question 46

A document that collects labor activity data by recording the amount of time a worker spent on each specific job task.

Accepted Answer

Job-time ticket

Question 47

___minimizes/eliminates inventories by purchasing and producing goods in response to actual rather than forecasted sales

Accepted Answer

Just-in-time (JIT) inventory system

Question 48

A lockbox is an example of segregation of duties.

Accepted Answer

True

Exam 3 review

Questions 48

Exam 3 review

Questions 48