E V examination.xuetangx.com C + 88 X # it Management Accounting XELE1B Suit 01:58:30 *FF > > 1 11. EXIn 0 /16RX Il Please fill the best answer.(10 Points) 1. The cost equation resulting from using is described as the "line of best fit." 2. Fantastic Aluminium is considering implementing an ERP system in order to 1 increase its efficiency. Freddie Lee is the CEO of the company, and he has estimated that the ERP system allows the company to respond more effectively to changes, which will result in an estimated cost savings of $103,300. However, the company 2 needs to spend $48,500 in replacing its computer systems, $38,000 in streamlining its operations, and another $13,500 to train its employees in adopting the new system. (1) The costs are 3 (2) The benefits are (3) Use cost-benefit analysis to determine whether Fantastic Aluminium should implement the ERP system. (Yes or No) 4 3. Cost incurred in the accounting department is a cost. ( product or period) 4. The accounts of Padini, an apparel retailer, show the following incomplete statement. Calculate the missing amounts for cost of goods purchased and ending inventory for 5 the period. Calculation of Cost of Goods Sold Beginning inventory $ 66,400 6 Plus: Purchases (1) Freight-in and import duty $ 31,200 7 Cost of goods available for sale (2) Less: Ending inventory (3) Cost of goods sold $149,000 8 Additional information: There are 1,090 units of ending inventory with an average cost of $50 per unit. (1) (2) (3) 9 5. When the company operates in a very competitive industry, it would be likely to benefit from refining its costing system.(less or more) 6. The costs of legal fees from customer lawsuits are costs.( internal or external) 10