Topeka Manufacturing reported sales of $750,000 during the current year. The company used $300,000 of raw materials to produce the units that were sold. Its raw materials inventory totaled $10,000 at the beginning of the year and $14,000 at the end of the year. What is the company's raw materials inventory turnover?

 Topeka Manufacturing reported sales of $750,000 during the current year. The company used $300,000 of raw materials to produce the units that were sold. Its raw materials inventory totaled $10,000 at the beginning of the year and $14,000 at the end of the year. What is the company’s days’ sales in raw materials inventory at the end of the current year?
 
multiple choice

    0.04 days
    6.81 days
    14.60 days
    17.03 days Correct

Days’ sales in raw materials inventory = ending raw materials inventory of $14,000 ÷ raw materials used of $300,000 × 365 = 17.03 days.

Topeka Manufacturing reported sales of $750,000 during the current year. The company used $300,000 of raw materials to produce the units that were sold. Its raw materials inventory totaled $10,000 at the beginning of the year and $14,000 at the end of the year. What is the company's raw materials inventory turnover?
 
multiple choice

    21.4
    53.6
    62.5
    25.0 Correct

Raw materials inventory turnover = raw materials used of $300,000 ÷ average raw materials inventory of $12,000 (or ($10,000 + $14,000) ÷ 2) = 25.0.

 
A focus on financial, social, and environmental measures is known as
 
multiple choice

    Triple bottom line Correct
    Total quality management
    Continuous improvement
    Corporate social responsibility

Which is the lean principle where managers and employees seek to uncover waste in business activities including accounting activities such as payroll and disbursements?
 
multiple choice

    Value chain
    Total quality management Correct
    Continuous improvement
    Just-in-time manufacturing

Which of these phrases describes the fact that employees understand the changing needs and wants of their customers and align their management and operating practices accordingly?
 
multiple choice

    Global economy
    Service economy
    Value chain
    Customer orientation Correct
    E-commerce

What are prime costs?
 
multiple choice

    Direct Material + Direct Labor + Factory Overhead
    Direct Material + Direct Labor Correct
    Direct Labor + Factory Overhead
    Cost of obtaining the merchandise inventory

Service companies do not classify costs as product versus period costs because:
 
multiple choice

    they do not have any product costs
    they do not have any period costs
    their services are not inventoried Correct
    it is difficult to efficiently classify these costs

 

Thanks