Managerial Accounting Notes Take 2.docx Chapter 1 – 6 questions -Role of managerial ac

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Managerial Accounting Notes Take 2.docx Chapter 1 – 6 questions -Role of managerial accounting (1) -Cost classifications (1) -Manufacturing statements (4) Managerial accounting – in... ternal, no indie audits, specific purpose Manufacturing Costs -Direct Materials oRaw Materials – basic materials and parts used in manu process -Direct Labor oWord of factory employees that can be physically and directly associated with product -Manufacturing overhead oIndirect materials – not physically part of finished product or impractical to trace to finished products (nails, glue, etc, small items) oIndirect labor – work of factory employees that has no physical association with finished product (factory supervisor) oFactory OH (keyword: factory or plant) Product Costs are direct materials, direct labor, and manufacturing OH; integral to production of product, recorded in “inventory” account, not expensed until sold Period costs – charged to expense as incurred, selling & admin, non-manu FORMULAS (Not on Tip Sheet) Direct Materials = Beginning Inv of Raw Materials + Purchases – Ending Iv Raw Materials COGM = Beginning Inv WIP + Manu Costs – Ending Inv WIP -Manu costs = DM + DL + OH . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. . . . . .. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. . .. .. . . . . . . . . . . . . . . . . . .. . . . . [Show More]

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