Question 1

The difference between actual overhead and applied overhead is called a (n)_________________.

Accepted Answer

The answer of The difference between actual overhead and applied...

Question 2

Figure 5-13.
During February,Alexander,Inc.,worked on two jobs with the following data:
   Overhead is assigned on the basis of direct labor hours at a rate of $12.During February,Job 12 was completed and transferred to finished goods.Job 13 is the only unfinished job at the end of the month.
Refer to Figure 5-13.

Accepted Answer

The answer of Figure 5-13.
During February,Alexander,Inc.,worked on two jobs with...

Question 3

The cost of goods sold before an adjustment for an overhead variance is called ____________________.

Accepted Answer

normal cos

Question 4

_________________________ is the amount that appears as an expense on the income statement after the adjustment for the period's overhead variance is recorded.

Accepted Answer

Adjusted c

Question 5

In job-order costing,the journal entry for $7,200 raw materials requisitioned for use in production is:

Accepted Answer

A) True 
 B)False

Question 6

What account is credited when goods are sold?

Accepted Answer

A) Accounts receivable 
B) Cost of Goods Sold 
C) Finished Goods 
D) Raw materials 
E) Work-in-process 
A) Accounts receivable 
B) Cost of Goods Sold 
C) Finished Goods 
D) Raw materials 
E) Work-in-process

Question 7

Figure 5-7. Laudermilk produces dairy equipment.Most of its jobs have a number of units per job.The company has two different departments through which all jobs pass.Overhead is applied using a plantwide rate of $13 per direct labor hour.Direct labor wages average $8 an hour.Data for Job #3 for the year is:
  Refer to Figure 5-7.Compute the total cost of Job #3.

Accepted Answer

A) $229,000 
B) $112,000 
C) $134,600 
D) $145,800 
E) $231,600 
A) $229,000 
B) $112,000 
C) $134,600 
D) $145,800 
E) $231,600

Question 8

Time tickets are filled out for

Accepted Answer

A) indirect laborers. 
B) direct laborers. 
C) both direct laborers and indirect laborers. 
D) direct materials. 
E) supervisors. 
A) indirect laborers. 
B) direct laborers. 
C) both direct laborers and indirect laborers. 
D) direct materials. 
E) supervisors.

Question 9

Figure 5-8. John's Water Slides makes custom water slides for hotels.On September 1,there were three jobs in process,Jobs 812,813,and 814.Two more jobs were started during September,Jobs 815 and 816.By September 30,Jobs 812,814,and 816 were finished.The following data has been collected:
  Overhead is applied at the rate of 120% of direct labor cost.Jobs are sold at cost plus 60%.Selling and administrative expenses for September totaled $2,950.By September 30,Jobs 812 were 816 are sold,but the customer who ordered Job 814 decided he did not want the slide so it is still in the warehouse.
Refer to Figure 5-8.What is the ending balance of Finished Goods if the beginning balance was $0?

Accepted Answer

A) $3,457 
B) $5,531.20 
C) $8,206.40 
D) $13,737.60 
E) $2,785 
A) $3,457 
B) $5,531.20 
C) $8,206.40 
D) $13,737.60 
E) $2,785

Question 10

Figure 5-6. Stutz,Inc.designs and builds basketball gymnasiums.Each gymnasium is custom-built to individual customers' specifications.Stutz uses job-order costing to keep track of its costs.In February it worked on three jobs.Data for these jobs are as follows:
  Overhead is applied to jobs at the rate of $25 per machine hour.By February 28,Job 178 is the only one unfinished.The balance of Finished Goods on February 1 is $94,000 (consisting of Job 177).Jobs 177 and 179 are sold during February.Stutz sells its product at cost plus 40%.
Refer to Figure 5-6.What is Cost of Goods Sold for February?

Accepted Answer

A) $125,500 
B) $219,500 
C) $307,300 
D) $175,700 
E) $310,100 
A) $125,500 
B) $219,500 
C) $307,300 
D) $175,700 
E) $310,100

Question 11

If actual overhead is greater than applied overhead,the variance is called underapplied overhead.

Accepted Answer

A) True 
 B)False

Question 12

If actual overhead is greater than applied overhead,then the variance is called ___________________.

Accepted Answer

underappli

Question 13

There are two major types of companies: those that use a job-order costing system and those that use process-costing systems.

Accepted Answer

The answer of There are two major types of companies:...

Question 14

Which of the following costs is not included on a job-order cost sheet?

Accepted Answer

A) direct material costs 
B) applied plantwide overhead costs 
C) direct labor costs 
D) actual plantwide overhead costs 
A) direct material costs 
B) applied plantwide overhead costs 
C) direct labor costs 
D) actual plantwide overhead costs

Question 15

When purchasing raw materials on account,what type of accounts would increase?

Accepted Answer

A) Assets and equity 
B) Liabilities and expenses 
C) Liabilities and revenues 
D) Assets and liabilities 
E) Assets and expenses 
A) Assets and equity 
B) Liabilities and expenses 
C) Liabilities and revenues 
D) Assets and liabilities 
E) Assets and expenses

Question 16

The difference between actual overhead and applied overhead is called an overhead variance.

Accepted Answer

A) True 
 B)False

Question 17

Figure 5-9. Warwick Company has the following transactions for the month of September:
  Balances at the beginning of the month were:
  Refer to Figure 5-9.What is the ending balance in Work-in-Process?

Accepted Answer

A) $162,912 
B) $113,083 
C) $166,414 
D) $123,870 
E) $0 
A) $162,912 
B) $113,083 
C) $166,414 
D) $123,870 
E) $0

Question 18

The cost of goods sold appearing on the income statement as an expense is the normal cost of goods sold.

Accepted Answer

A) True 
 B)False

Question 19

Figure 5-4. Hill Company uses job-order costing.At the end of the month,the following data was gathered:
  Hill's selling price is cost plus 50% for each of its products.
Refer to Figure 5-4.What is the selling price of Job 806?

Accepted Answer

A) $682 
B) $1,320 
C) $1,440 
D) $920 
E) $1,023 
A) $682 
B) $1,320 
C) $1,440 
D) $920 
E) $1,023

Question 20

When materials are requested for production the cost is removed from ____________ and added to ____________.

Accepted Answer

raw materi

The difference between actual overhead and applied overhead is called a (n)_________________.

The cost of goods sold before an adjustment for an overhead variance is called ____________________.

_________________________ is the amount that appears as an expense on the income statement after the adjustment for the period's overhead variance is recorded.

In job-order costing,the journal entry for $7,200 raw materials requisitioned for use in production is:

What account is credited when goods are sold?

Time tickets are filled out for

If actual overhead is greater than applied overhead,the variance is called underapplied overhead.

If actual overhead is greater than applied overhead,then the variance is called ___________________.

There are two major types of companies: those that use a job-order costing system and those that use process-costing systems.

Which of the following costs is not included on a job-order cost sheet?

When purchasing raw materials on account,what type of accounts would increase?

The difference between actual overhead and applied overhead is called an overhead variance.

Figure 5-9. Warwick Company has the following transactions for the month of September: Balances at the beginning of the month were: Refer to Figure 5-9.What is the ending balance in Work-in-Process?

The cost of goods sold appearing on the income statement as an expense is the normal cost of goods sold.

Figure 5-4. Hill Company uses job-order costing.At the end of the month,the following data was gathered: Hill's selling price is cost plus 50% for each of its products. Refer to Figure 5-4.What is the selling price of Job 806?

When materials are requested for production the cost is removed from and added to .

Introduction to Managerial Accounting

Basic Managerial Accounting Concepts

Cost Behavior

Cost-Volume-Profit Analysis: a Managerial Planning Tool

Process 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

Exam 5: Job-Order Costing

The difference between actual overhead and applied overhead is called a (n)_________________.

The cost of goods sold before an adjustment for an overhead variance is called ____________________.

_________________________ is the amount that appears as an expense on the income statement after the adjustment for the period's overhead variance is recorded.

In job-order costing,the journal entry for $7,200 raw materials requisitioned for use in production is:

What account is credited when goods are sold?

Time tickets are filled out for

If actual overhead is greater than applied overhead,the variance is called underapplied overhead.

If actual overhead is greater than applied overhead,then the variance is called ___________________.

There are two major types of companies: those that use a job-order costing system and those that use process-costing systems.

Which of the following costs is not included on a job-order cost sheet?

When purchasing raw materials on account,what type of accounts would increase?

The difference between actual overhead and applied overhead is called an overhead variance.

Figure 5-9. Warwick Company has the following transactions for the month of September: Balances at the beginning of the month were: Refer to Figure 5-9.What is the ending balance in Work-in-Process?

The cost of goods sold appearing on the income statement as an expense is the normal cost of goods sold.

Figure 5-4. Hill Company uses job-order costing.At the end of the month,the following data was gathered: Hill's selling price is cost plus 50% for each of its products. Refer to Figure 5-4.What is the selling price of Job 806?

When materials are requested for production the cost is removed from ____________ and added to ____________.

Introduction to Managerial Accounting

Basic Managerial Accounting Concepts

Cost Behavior

Cost-Volume-Profit Analysis: a Managerial Planning Tool

Process 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

When materials are requested for production the cost is removed from and added to .