Question

List the four standards of ethical conduct for management accountants.  For each standard, give an example that demonstrates compliance with that standard.

Which of the following is not an inventoriable cost of a manufacturer?

Sales commissions paid to sales representatives who sell the products made by the manufacturer

Wages paid to assembly-line workers

Plant depreciation incurred

Property taxes on plant Exceptional Manufacturing Co. wants to classify costs for the product produced at its facility. The company produces only one product at the facility and operates continually. The cost categories are:       Product cost       Prime cost       Conversion cost       Period cost The following costs are found in the accounting records:       a.   Quality control inspection wages       b.   Raw material purchases       c.    Sales commissions       d.   Factory depreciation       e.   Assembly wages Required: Assign each of the above costs to the most appropriate cost categories. Note costs can belong to more than one category.

Answer 1

Q1.
Answer is Sales commission paid to sales representatives who sell the product made by manufacturer.
Q2.
Cost				Cost categories
a. Quality control inspection wages				Product cost and conversion cost
b. Raw material purchases				Product cost and Prime cost
c. Sales commission				Period cost
d. Factory depreciation				Product cost and conversion cost
e. Assembly Wages				Product, Prime cost and Conversion cost