Question 1

List the five steps in preparing a production report.

Accepted Answer

The answer of List the five steps in preparing a...

Question 2

Assuming that there is a one-to-one relationship between the output measures,the units started in a subsequent department is:

Accepted Answer

A) equal to the equivalent units plus the materials added. 
B) equal to the equivalent units of that department. 
C) equal to the materials added plus conversion costs. 
D) equal to the units transferred out from the prior department. 
A) equal to the equivalent units plus the materials added. 
B) equal to the equivalent units of that department. 
C) equal to the materials added plus conversion costs. 
D) equal to the units transferred out from the prior department.

Question 3

King Corporation produces a product that passes through two departments.For December,the following equivalent unit schedule was prepared for the first department:
   Costs assigned to beginning work in process:
   Manufacturing costs incurred during the month:
   Required:

Accepted Answer

The answer of King Corporation produces a product that passes...

Question 4

Figure 6-4. The following information is available for Department X for August:
  Refer to Figure 6-4.Department X's cost per equivalent unit for materials using the weighted average method would be

Accepted Answer

A) $2.00 
B) $7.00 
C) $8.00 
D) $9.00 
A) $2.00 
B) $7.00 
C) $8.00 
D) $9.00

Question 5

Beginning inventory for the month contained 3,000 units that were 60 percent complete with respect to materials.During the month,50,000 units were completed and transferred out.Ending inventory contained 5,000 units,30 percent complete with respect to materials.The weighted average equivalent units of production for materials for the month would be

Accepted Answer

A) 50,000 
B) 51,500 
C) 50,300 
D) 49,500 
A) 50,000 
B) 51,500 
C) 50,300 
D) 49,500

Question 6

Manufacturing firms may operate without significant work-in-process inventories.

Accepted Answer

A) True 
 B)False

Question 7

Process accounting is most probably used by a(n)

Accepted Answer

A) paint manufacturer 
B) cement manufacturer 
C) oil change and lube shop 
D) all of these 
A) paint manufacturer 
B) cement manufacturer 
C) oil change and lube shop 
D) all of these

Question 8

Garrison Inc.manufactures product where all manufacturing inputs are applied uniformly.The company produced the following physical flow schedule for July:
   Required: Prepare a schedule of equivalent units using the FIFO method

Accepted Answer

The answer of Garrison Inc.manufactures product where all manufacturing inputs...

Question 9

The following information is provided:   Materials are added at the beginning of the process.
Equivalent units of production for conversion costs using the weighted average method would be

Accepted Answer

A) 35,600 
B) 34,800 
C) 36,000 
D) 27,600 
A) 35,600 
B) 34,800 
C) 36,000 
D) 27,600

Question 10

Which of the following best describes parallel processing?

Accepted Answer

A) A large number of similar products pass through an identical set of processes. 
B) Units typically pass through a series of manufacturing or producing departments. 
C) Partially completed units can be worked on simultaneously in different processes and then brought together in a final process for completion. 
D) Units must pass through one process before they can be worked on in the next processes. 
A) A large number of similar products pass through an identical set of processes. 
B) Units typically pass through a series of manufacturing or producing departments. 
C) Partially completed units can be worked on simultaneously in different processes and then brought together in a final process for completion. 
D) Units must pass through one process before they can be worked on in the next processes.

Question 11

In process costing,it is unreasonable to assume uniform application of material costs.

Accepted Answer

A) True 
 B)False

Question 12

Which of the following companies would be least likely to use a process costing system?

Accepted Answer

A) An oil refinery 
B) A home-builder 
C) A fertilizer company 
D) A chemical company 
A) An oil refinery 
B) A home-builder 
C) A fertilizer company 
D) A chemical company

Question 13

When inputs are added _______________,equivalent units and unit cost are calculated for each separate input category.

Accepted Answer

The answer of When inputs are added _______________,equivalent units and...

Question 14

In process costing,the cost of units finished in the last department will be transferred from work in process to

Accepted Answer

A) cost of goods sold. 
B) completed processes. 
C) finished goods. 
D) sales. 
A) cost of goods sold. 
B) completed processes. 
C) finished goods. 
D) sales.

Question 15

Beginning inventory for the month contained 2,000 units that were 70 percent complete with respect to materials.During the month,60,000 units were completed and transferred out.Ending inventory contained 3,000 units,20 percent complete with respect to materials.The weighted average equivalent units of production for materials for the month would be

Accepted Answer

A) 62,400 
B) 63,000 
C) 60,600 
D) 60,000 
A) 62,400 
B) 63,000 
C) 60,600 
D) 60,000

Question 16

The following information is provided:   Materials and conversion are incurred uniformly throughout the process.
Equivalent units of production for conversion using the weighted average method would be

Accepted Answer

A) 17,400 
B) 18,600 
C) 21,000 
D) 22,000 
A) 17,400 
B) 18,600 
C) 21,000 
D) 22,000

Question 17

Which statement best describes the concept of equivalent units of production?

Accepted Answer

A) Equivalent units are the measure of a period's output 
B) Equivalent units are the units completed in a department 
C) Equivalent units are the total of the units produced by all departments 
D) Equivalent units are the number of units completed at the end of the last process 
A) Equivalent units are the measure of a period's output 
B) Equivalent units are the units completed in a department 
C) Equivalent units are the total of the units produced by all departments 
D) Equivalent units are the number of units completed at the end of the last process

Question 18

Process costing is most useful in situations when relatively homogeneous products are produced.

Accepted Answer

A) True 
 B)False

Question 19

Figure 6-7. Geller Manufacturing uses a process cost system to manufacture sensors for the security industry.The following information pertains to operations for the month of March.
  The beginning inventory was 70 percent complete for materials and 30 percent complete for conversion costs.The ending inventory was 90 percent complete for materials and 50 percent complete for conversion costs.
Costs pertaining to the month of March are as follows:
Beginning inventory costs are: materials,$44,400; conversion cost $30,500.
Costs incurred during March are: materials used,$588,000; conversion cost $624,000.
Refer to Figure 6-7.Using the weighted average method,the unit cost of materials for March is:

Accepted Answer

A) $4.50 
B) $5.33 
C) $5.00 
D) $5.46 
A) $4.50 
B) $5.33 
C) $5.00 
D) $5.46

Question 20

Figure 6-2. The Bing Corporation produces a product that passes through two processes.During June,the first department transferred 60,000 units to the second department.The cost of the units transferred was $90,000.Materials are added uniformly in the second process.The following information was provided about the second department's operations during June:
  Refer to Figure 6-2.Units started in the second department during June for Bing Corporation would be

Accepted Answer

A) 60,000 
B) 55,000 
C) 73,000 
D) 48,000 
A) 60,000 
B) 55,000 
C) 73,000 
D) 48,000

List the five steps in preparing a production report.

Assuming that there is a one-to-one relationship between the output measures,the units started in a subsequent department is:

King Corporation produces a product that passes through two departments.For December,the following equivalent unit schedule was prepared for the first department: Costs assigned to beginning work in process: Manufacturing costs incurred during the month: Required:

Figure 6-4. The following information is available for Department X for August: Refer to Figure 6-4.Department X's cost per equivalent unit for materials using the weighted average method would be

Manufacturing firms may operate without significant work-in-process inventories.

Process accounting is most probably used by a(n)

Garrison Inc.manufactures product where all manufacturing inputs are applied uniformly.The company produced the following physical flow schedule for July: Required: Prepare a schedule of equivalent units using the FIFO method

The following information is provided: Materials are added at the beginning of the process. Equivalent units of production for conversion costs using the weighted average method would be

Which of the following best describes parallel processing?

In process costing,it is unreasonable to assume uniform application of material costs.

Which of the following companies would be least likely to use a process costing system?

When inputs are added _______________,equivalent units and unit cost are calculated for each separate input category.

In process costing,the cost of units finished in the last department will be transferred from work in process to

The following information is provided: Materials and conversion are incurred uniformly throughout the process. Equivalent units of production for conversion using the weighted average method would be

Which statement best describes the concept of equivalent units of production?

Process costing is most useful in situations when relatively homogeneous products are produced.

Introduction to Managerial Accounting

Basic Managerial Accounting Concepts

Cost Behavior

Cost-Volume-Profit Analysis: a Managerial Planning Tool

Job-Order Costing

Activity-Based Costing and Management

Absorption and Variable Costing,and Inventory Management

Profit Planning

Standard Costing: a Managerial Control Tool

Flexible Budgets and Overhead Analysis

Performance Evaluation and Decentralization

Short-Run Decision Making: Relevant Costing

Capital Investment Decisions

Statement of Cash Flows

Financial Statement Analysis

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Exam 6: Process Costing

List the five steps in preparing a production report.

Assuming that there is a one-to-one relationship between the output measures,the units started in a subsequent department is:

King Corporation produces a product that passes through two departments.For December,the following equivalent unit schedule was prepared for the first department: Costs assigned to beginning work in process: Manufacturing costs incurred during the month: Required:

Figure 6-4. The following information is available for Department X for August: Refer to Figure 6-4.Department X's cost per equivalent unit for materials using the weighted average method would be

Manufacturing firms may operate without significant work-in-process inventories.

Process accounting is most probably used by a(n)

Garrison Inc.manufactures product where all manufacturing inputs are applied uniformly.The company produced the following physical flow schedule for July: Required: Prepare a schedule of equivalent units using the FIFO method

The following information is provided: Materials are added at the beginning of the process. Equivalent units of production for conversion costs using the weighted average method would be

Which of the following best describes parallel processing?

In process costing,it is unreasonable to assume uniform application of material costs.

Which of the following companies would be least likely to use a process costing system?

When inputs are added _______________,equivalent units and unit cost are calculated for each separate input category.

In process costing,the cost of units finished in the last department will be transferred from work in process to

The following information is provided: Materials and conversion are incurred uniformly throughout the process. Equivalent units of production for conversion using the weighted average method would be

Which statement best describes the concept of equivalent units of production?

Process costing is most useful in situations when relatively homogeneous products are produced.

Introduction to Managerial Accounting

Basic Managerial Accounting Concepts

Cost Behavior

Cost-Volume-Profit Analysis: a Managerial Planning Tool

Job-Order Costing

Activity-Based Costing and Management

Absorption and Variable Costing,and Inventory Management

Profit Planning

Standard Costing: a Managerial Control Tool

Flexible Budgets and Overhead Analysis

Performance Evaluation and Decentralization

Short-Run Decision Making: Relevant Costing

Capital Investment Decisions

Statement of Cash Flows

Financial Statement Analysis

Filters