Part 2:
Explain the following managerial accounting terms and provide areal-life example for each
accounting term:
administrative expenses and selling expenses
. Explain why each accounting term is
either classified as a product cost or period cost.
ï·
Part 3:
Explain the following inventory account and provide a real-lifeexample from three (3) different
manufacturing companies:
raw materials inventory
.
ï·
Part 4:
Explain the following inventory account and provide a real-lifeexample from three (3) different
manufacturing companies:
work-in-process inventory
.
ï·
Part 5:
Explain the following inventory account and provide a real-lifeexample from three (3) different
manufacturing companies:
finished goods inventory
.
ï·
Part 6:
Explain what financial statement
inventory costs
are capitalized to and why. Explain when
inventory costs are incurred as an expense. What account is usedto classify inventory costs as an
expense?