Question 1

The raw materials account is an inventory account located on the income statement.

Accepted Answer

A) True 
 B)False

Question 2

Which form asks for type,quantity,unit price of direct materials issued,and for the number of the job?

Accepted Answer

A) time ticket 
B) materials requisition form 
C) job-order cost sheet 
D) None of these are correct. 
E) All of these are correct. 
A) time ticket 
B) materials requisition form 
C) job-order cost sheet 
D) None of these are correct. 
E) All of these are correct.

Question 3

Wright's Construction builds custom houses for individual buyers.On June 1,it had one job started with a beginning Work-in-Process of $56,000.During June the job was finished and sold.Direct labor for the job in June was $75,000 and direct materials used were $57,000.Overhead is computed at a rate of 65% of direct labor.There is a markup of 35% on all sales.What was the selling price of the house?

Accepted Answer

A) $319,612.50 
B) $236,750 
C) $82,862.5 
D) $272,600 
E) 262,087.5 
A) $319,612.50 
B) $236,750 
C) $82,862.5 
D) $272,600 
E) 262,087.5

Question 4

Sanders Manufacturing has the following amounts listed before reconciling the overhead variance.   Assuming that any overhead variance is immaterial,calculate the adjusted Cost of Goods Sold after adjusting for the overhead variance.

Accepted Answer

A) $919,000 
B) $951,000 
C) $939,000 
D) $955,000 
E) $915,000 
A) $919,000 
B) $951,000 
C) $939,000 
D) $955,000 
E) $915,000

Question 5

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.Calculate the Ending Balance of Raw Materials.

Accepted Answer

A) $220,384 
B) $151,582 
C) $185,320 
D) $22,760 
E) 91,562 
A) $220,384 
B) $151,582 
C) $185,320 
D) $22,760 
E) 91,562

Question 6

On February 1,Job 12 had a beginning balance of $200.During February,direct materials of $500 and direct labor of $200 were added to the job.Overhead is applied to production at a rate of 55% of direct labor.There are 5 units in Job 12. What is the unit cost?

Accepted Answer

A) $202 
B) $1,010 
C) $162 
D) $810 
E) none of these 
A) $202 
B) $1,010 
C) $162 
D) $810 
E) none of these

Question 7

Actual overhead costs are accumulated in the overhead control account.

Accepted Answer

A) True 
 B)False

Question 8

A __________________________ is used by the cost accounting department to enter the cost of direct materials onto the correct job-order cost sheet.

Accepted Answer

materials

Question 9

When a job is completed but not sold,the accounts affected are

Accepted Answer

A) Raw Materials and Work-in-Process. 
B) Work-in-Process and Finished Goods. 
C) Work-in-Process and Cost of Goods Sold. 
D) Finished Goods and Cost of Goods Sold. 
E) Finished Goods and Overhead Control. 
A) Raw Materials and Work-in-Process. 
B) Work-in-Process and Finished Goods. 
C) Work-in-Process and Cost of Goods Sold. 
D) Finished Goods and Cost of Goods Sold. 
E) Finished Goods and Overhead Control.

Question 10

A schedule that is used to ensure accuracy in computing product costs is (are)

Accepted Answer

A) the schedule of the cost of goods manufactured. 
B) the schedule of the cost of goods sold. 
C) the schedules of the cost of goods manufactured and cost of goods sold. 
D) the schedule of raw materials used. 
E) none of the schedules listed here. 
A) the schedule of the cost of goods manufactured. 
B) the schedule of the cost of goods sold. 
C) the schedules of the cost of goods manufactured and cost of goods sold. 
D) the schedule of raw materials used. 
E) none of the schedules listed here.

Question 11

What are the three steps of overhead application?

Accepted Answer

The answer of What are the three steps of overhead...

Question 12

The _____________________ is subsidiary to the work-in-process account and is the primary document for accumulating all costs related to a particular job.

Accepted Answer

job-order

Question 13

In job-order costing,the journal entry for $1,700 of unpaid direct labor is:

Accepted Answer

A) True 
 B)False

Question 14

The ____________________ of allocation recognizes all interactions among support departments.

Accepted Answer

The answer of The ____________________ of allocation recognizes all interactions...

Question 15

At the beginning of the year,Fluman Corporation estimates overhead will be $150,000.If the actual overhead for the year is $152,000 and the applied overhead for the year is $143,000,what is the journal entry needed to reconcile the overhead variance? Assume that the overhead variance is immaterial.

Accepted Answer

A) Cost of Goods Sold 9,000 Overhead Control 9,000 
B) Overhead Control 9,000 Cost of Goods Sold 9,000 
C) Cost of Goods Sold 7,000 Overhead Control 7,000 
D) Overhead Control 7,000 Cost of Goods Sold 7,000 
E) none of these 
A) Cost of Goods Sold 9,000 Overhead Control 9,000 
B) Overhead Control 9,000 Cost of Goods Sold 9,000 
C) Cost of Goods Sold 7,000 Overhead Control 7,000 
D) Overhead Control 7,000 Cost of Goods Sold 7,000 
E) none of these

Question 16

Fowler Company is a job-order costing company that produces customized bicycles.During the month of October,Fowler had three jobs in process,Jobs 3,4,& 5.By the end of the month all three jobs had been completed,with Job 3 being sold for $435.The following costs belong to each job:

Accepted Answer

The answer of Fowler Company is a job-order costing company...

Question 17

When the work-in-process account is debited for direct labor,what account is usually credited?

Accepted Answer

A) Cost of Goods Sold 
B) Sales Revenue 
C) Wages Payable 
D) Overhead Control 
E) Accounts Receivable 
A) Cost of Goods Sold 
B) Sales Revenue 
C) Wages Payable 
D) Overhead Control 
E) Accounts Receivable

Question 18

Using a time ticket,the cost accounting department can enter the cost of direct materials onto the correct job-order cost sheet.

Accepted Answer

A) True 
 B)False

Question 19

A source document that would not be used to help decide the cost of a job is (are)

Accepted Answer

A) a material requisition form. 
B) a time ticket for direct labor. 
C) a time ticket for indirect labor. 
D) a material requisition form and a time ticket for direct labor. 
E) all items listed are helpful to decide the cost of a job. 
A) a material requisition form. 
B) a time ticket for direct labor. 
C) a time ticket for indirect labor. 
D) a material requisition form and a time ticket for direct labor. 
E) all items listed are helpful to decide the cost of a job.

Question 20

Production costs consist of direct materials,direct labor,and overhead.

Accepted Answer

A) True 
 B)False

The raw materials account is an inventory account located on the income statement.

Which form asks for type,quantity,unit price of direct materials issued,and for the number of the job?

Sanders Manufacturing has the following amounts listed before reconciling the overhead variance. Assuming that any overhead variance is immaterial,calculate the adjusted Cost of Goods Sold after adjusting for the 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.Calculate the Ending Balance of Raw Materials.

On February 1,Job 12 had a beginning balance of $200.During February,direct materials of $500 and direct labor of $200 were added to the job.Overhead is applied to production at a rate of 55% of direct labor.There are 5 units in Job 12. What is the unit cost?

Actual overhead costs are accumulated in the overhead control account.

A __________________________ is used by the cost accounting department to enter the cost of direct materials onto the correct job-order cost sheet.

When a job is completed but not sold,the accounts affected are

A schedule that is used to ensure accuracy in computing product costs is (are)

What are the three steps of overhead application?

The _____________________ is subsidiary to the work-in-process account and is the primary document for accumulating all costs related to a particular job.

In job-order costing,the journal entry for $1,700 of unpaid direct labor is:

The ____________________ of allocation recognizes all interactions among support departments.

At the beginning of the year,Fluman Corporation estimates overhead will be $150,000.If the actual overhead for the year is $152,000 and the applied overhead for the year is $143,000,what is the journal entry needed to reconcile the overhead variance? Assume that the overhead variance is immaterial.

Fowler Company is a job-order costing company that produces customized bicycles.During the month of October,Fowler had three jobs in process,Jobs 3,4,& 5.By the end of the month all three jobs had been completed,with Job 3 being sold for $435.The following costs belong to each job:

When the work-in-process account is debited for direct labor,what account is usually credited?

Using a time ticket,the cost accounting department can enter the cost of direct materials onto the correct job-order cost sheet.

A source document that would not be used to help decide the cost of a job is (are)

Production costs consist of direct materials,direct labor,and overhead.

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 raw materials account is an inventory account located on the income statement.

Which form asks for type,quantity,unit price of direct materials issued,and for the number of the job?

Sanders Manufacturing has the following amounts listed before reconciling the overhead variance. Assuming that any overhead variance is immaterial,calculate the adjusted Cost of Goods Sold after adjusting for the 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.Calculate the Ending Balance of Raw Materials.

On February 1,Job 12 had a beginning balance of $200.During February,direct materials of $500 and direct labor of $200 were added to the job.Overhead is applied to production at a rate of 55% of direct labor.There are 5 units in Job 12. What is the unit cost?

Actual overhead costs are accumulated in the overhead control account.

A __________________________ is used by the cost accounting department to enter the cost of direct materials onto the correct job-order cost sheet.

When a job is completed but not sold,the accounts affected are

A schedule that is used to ensure accuracy in computing product costs is (are)

What are the three steps of overhead application?

The _____________________ is subsidiary to the work-in-process account and is the primary document for accumulating all costs related to a particular job.

In job-order costing,the journal entry for $1,700 of unpaid direct labor is:

The ____________________ of allocation recognizes all interactions among support departments.

At the beginning of the year,Fluman Corporation estimates overhead will be $150,000.If the actual overhead for the year is $152,000 and the applied overhead for the year is $143,000,what is the journal entry needed to reconcile the overhead variance? Assume that the overhead variance is immaterial.

Fowler Company is a job-order costing company that produces customized bicycles.During the month of October,Fowler had three jobs in process,Jobs 3,4,& 5.By the end of the month all three jobs had been completed,with Job 3 being sold for $435.The following costs belong to each job:

When the work-in-process account is debited for direct labor,what account is usually credited?

Using a time ticket,the cost accounting department can enter the cost of direct materials onto the correct job-order cost sheet.

A source document that would not be used to help decide the cost of a job is (are)

Production costs consist of direct materials,direct labor,and overhead.

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