Solution Manual for Managerial Accounting, Second Canadian Edition, 2/E 2nd Edition Karen Wilken Braun, Wendy M. Tietz, Rhonda Pyper
Braun, Managerial Accounting builds a solid foundation in managerial accounting concepts, within a less intimidating and more student-friendly context by making information easier to find, making topics easier to understand, and making examples more engaging for students.
Students are seeking a more active learning experience. Each chapter has been tailored to offer this, with clear and concise lesson content, sample problems with walkthrough solutions, decision guidelines illustrating how accounting information is used to make decisions, and an extensive array of end-of-chapter practice and assessment options.
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Building Blocks of Managerial Accounting
Quick Check Questions
1. b 3. a 5. c 7. b 9. b
2. b 4. b 6. b 8. d 10. c
(5 min.) S2-1
X-Treme is a merchandiser because it has a single inventory account.
Y-Not? is a service company because it has no inventory.
Zesto is a manufacturer because it has three kinds of inventory: raw materials inventory, work in process inventory, and finished goods inventory.
(10 min.) S2-2
a. Service companies generally have no inventory.
b. Bombardier is a manufacturing company.
c. Merchandisers’ inventory consists of the cost of merchandise and freight-in.
d. Manufacturing companies carry three types of inventories: raw materials inventory, work in process inventory, and finished goods inventory.
e. TD Insurance is a service company.
f. Two types of merchandising companies include retailers and wholesalers.
g. Direct materials are stored in raw materials inventory.
h. Zellers is a merchandising company.
i. Manufacturers sell from their stock of finished goods inventory.
j. Labour costs usually account for the highest percentage
of service companies’ costs.
k. Partially completed units are kept in the work in process inventory.
(5 min.) S2-3
d. Research and Development (R&D)
e. Customer Service
f. Production or Purchases