Question 1

Under a perpetual inventory system,when goods are sold the Cost of Goods Sold account is ___________________.

Accepted Answer

The answer of Under a perpetual inventory system,when goods are...

Question 2

The Manufacturing Overhead Applied account for Djos Domal Company had activity of $567 in indirect materials and supplies,$785 in indirect labor,and $3,455 in other overhead costs recorded in the account at August 31 of the current year.The Manufacturing Overhead Applied account had a total of $4,600 in overhead applied during August.What is the over- or underapplied overhead for August? Prepare the journal entry to close the related overhead accounts.

Accepted Answer

The undera

Question 3

Workers who perform direct labor prepare a series of ____________________ to account for all time spent in the plant.

Accepted Answer

The answer of Workers who perform direct labor prepare a...

Question 4

The entry to record applied overhead includes a(n)____________________ to Manufacturing Overhead Applied.

Accepted Answer

The answer of The entry to record applied overhead includes...

Question 5

How often are direct labor costs entered on the Job Order Cost Sheets?

Accepted Answer

A)  daily 
B)  weekly 
C)  monthly 
D)  immediately-as time cards are completed 
A)  daily 
B)  weekly 
C)  monthly 
D)  immediately-as time cards are completed

Question 6

Finished Goods beginning and ending balances are $18,000 and $14,000.The cost of goods manufactured for the period was $145,000.Actual manufacturing overhead for the period was $32,000 and applied overhead was $35,000.The adjusted cost of goods sold was:

Accepted Answer

A)  $152,000. 
B)  $149,000. 
C)  $146,000. 
D)  $144,000. 
A)  $152,000. 
B)  $149,000. 
C)  $146,000. 
D)  $144,000.

Question 7

Every job includes some idle time that is usually handled in one of two ways.What are they and under what circumstances is each utilized?

Accepted Answer

Generally idle time is put in manufactur

Question 8

The monthly total of the Overhead Applied section of all job order cost sheets should agree with the balance in the control account Manufacturing Overhead.

Accepted Answer

A) True 
 B)False

Question 9

Briefly describe a Just-in-Time (JIT)system.List the advantages and disadvantages of a JIT system.

Accepted Answer

JIT is a system adopted by some manufact

Question 10

Indirect labor is recorded by debiting the _________________________ account.

Accepted Answer

Manufactur

Question 11

When a perpetual inventory system is used,sales revenue is recorded as products are sold,

Accepted Answer

A)  but the cost of the goods sold is not recorded. 
B)  and the cost of the goods sold is transferred from the Finished Goods Inventory account to the Cost of Goods Sold account. 
C)  and the cost of the goods sold is transferred from the Work in Process Inventory account to the Cost of Goods Sold account. 
D)  and the cost of goods sold is transferred from the Cost of Goods Manufactured to the Cost of Goods Sold account. 
A)  but the cost of the goods sold is not recorded. 
B)  and the cost of the goods sold is transferred from the Finished Goods Inventory account to the Cost of Goods Sold account. 
C)  and the cost of the goods sold is transferred from the Work in Process Inventory account to the Cost of Goods Sold account. 
D)  and the cost of goods sold is transferred from the Cost of Goods Manufactured to the Cost of Goods Sold account.

Question 12

There is no need to take a physical count of inventory periodically when the perpetual inventory system is used.

Accepted Answer

A) True 
 B)False

Question 13

The cost data for the Omega Manufacturing Company for the month of April 2016 is given below.
(a. )Raw materials and supplies costing $34,000 were purchased.
(b. )The summary of materials requisitions shows that materials and supplies costing $30,900 were issued for use in jobs.Direct materials accounted for $28,000,and the balance consisted of indirect materials and supplies.
(c. )The payroll summary shows that direct labor costs were $15,000 and indirect labor costs were $3,000.Social security tax withheld was $1,116,Medicare tax withheld was $261,and income tax deductions were $1,550.
(d. )Manufacturing overhead of $6,200 was incurred in addition to indirect materials and indirect labor (credit Accounts Payable).
(e. )The predetermined overhead application rate is 75 percent of direct labor costs.
(f. )The summary of completed jobs shows that the cost of these jobs amounted to $39,600.
(g. )The summary of sales invoices shows that goods costing $32,000 were sold on credit for $51,000.
Prepare a partial income statement for the month.Adjust the cost of goods sold for the amount of any overapplied or underapplied overhead.

Accepted Answer

The answer of The cost data for the Omega Manufacturing...

Question 14

The total direct labor charged to all job cost sheets must agree with the direct labor debited to

Accepted Answer

A)  Time Tickets. 
B)  Wages Payable. 
C)  Work in Process Inventory. 
D)  Wages Expense. 
A)  Time Tickets. 
B)  Wages Payable. 
C)  Work in Process Inventory. 
D)  Wages Expense.

Question 15

If a firm estimates that for the coming year it will have expected total direct labor costs of $60,000 and total manufacturing overhead costs of $36,000,its overhead application rate will be 60 percent.

Accepted Answer

A) True 
 B)False

Question 16

Under a perpetual inventory system,when goods are completed the Work in Process Inventory account is ___________________.

Accepted Answer

The answer of Under a perpetual inventory system,when goods are...

Question 17

Fill in the blanks for each of the following.(Blanks are indicated by numbers in parentheses. )

Accepted Answer

The answer of Fill in the blanks for each of...

Question 18

A firm purchased 50 units of materials with a unit price of $1.30 on June 1.On June 15,the firm purchased 50 units with a unit price of $1.20.If the firm uses the FIFO method of inventory pricing,the total cost of 65 units issued on June 20 would be

Accepted Answer

A)  $83.00. 
B)  $79.50. 
C)  $78.00. 
D)  $84.50. 
A)  $83.00. 
B)  $79.50. 
C)  $78.00. 
D)  $84.50.

Question 19

____________________ and ___________________ are the two principal cost accounting systems for capturing and reporting manufacturing costs.

Accepted Answer

Job order,

Question 20

A firm purchased 50 units of materials with a unit price of $1.30 on June 1.On June 15,the firm purchased 50 units with a unit price of $1.20.If the firm uses the LIFO method of inventory pricing,the total cost of 65 units issued on June 20 would be

Accepted Answer

A)  $83.00. 
B)  $79.50. 
C)  $78.00. 
D)  $84.50. 
A)  $83.00. 
B)  $79.50. 
C)  $78.00. 
D)  $84.50.

Exam 27: Job Order Cost Accounting

Under a perpetual inventory system,when goods are sold the Cost of Goods Sold account is ___________________.

Workers who perform direct labor prepare a series of ____________________ to account for all time spent in the plant.

The entry to record applied overhead includes a(n)____________________ to Manufacturing Overhead Applied.

How often are direct labor costs entered on the Job Order Cost Sheets?

Finished Goods beginning and ending balances are $18,000 and $14,000.The cost of goods manufactured for the period was $145,000.Actual manufacturing overhead for the period was $32,000 and applied overhead was $35,000.The adjusted cost of goods sold was:

Every job includes some idle time that is usually handled in one of two ways.What are they and under what circumstances is each utilized?

The monthly total of the Overhead Applied section of all job order cost sheets should agree with the balance in the control account Manufacturing Overhead.

Briefly describe a Just-in-Time (JIT)system.List the advantages and disadvantages of a JIT system.

Indirect labor is recorded by debiting the _________________________ account.

When a perpetual inventory system is used,sales revenue is recorded as products are sold,

There is no need to take a physical count of inventory periodically when the perpetual inventory system is used.

The total direct labor charged to all job cost sheets must agree with the direct labor debited to

If a firm estimates that for the coming year it will have expected total direct labor costs of $60,000 and total manufacturing overhead costs of $36,000,its overhead application rate will be 60 percent.

Under a perpetual inventory system,when goods are completed the Work in Process Inventory account is ___________________.

Fill in the blanks for each of the following.(Blanks are indicated by numbers in parentheses. )

A firm purchased 50 units of materials with a unit price of $1.30 on June 1.On June 15,the firm purchased 50 units with a unit price of $1.20.If the firm uses the FIFO method of inventory pricing,the total cost of 65 units issued on June 20 would be

____________________ and ___________________ are the two principal cost accounting systems for capturing and reporting manufacturing costs.

A firm purchased 50 units of materials with a unit price of $1.30 on June 1.On June 15,the firm purchased 50 units with a unit price of $1.20.If the firm uses the LIFO method of inventory pricing,the total cost of 65 units issued on June 20 would be

Accounting: the Language of Business

Analyzing Business Transactions

Analyzing Business Transactions Using T Accounts

The General Journal and the General Ledger

Adjustments and the Worksheet

Closing Entries and the Postclosing Trial Balance

Accounting for Sales and Accounts Receivable

Accounting for Purchases and Accounts Payable

Cash Receipts, Cash Payments, and Banking Procedures

Payroll Computations, Records, and Payment

Payroll Taxes, Deposits, and Reports

Accruals, Deferrals, and the Worksheet

Financial Statements and Closing Procedures

Accounting Principles and Reporting Standards

Accounts Receivable and Uncollectible Accounts

Notes Payable and Notes Receivable

Merchandise Inventory

Property, Plant, and Equipment

Accounting for Partnerships

Corporations: Formation and Capital Stock Transactions

Corporate Earnings and Capital Transactions

Long-Term Bonds

Financial Statement Analyses

The Statement of Cash Flows

Departmentalized Profit and Cost Centers

Accounting for Manufacturing Activities

Process Cost Accounting

Controlling Manufacturing Costs: Standard Costs

Cost-Revenue Analysis for Decision Making

Filters

__ and _ are the two principal cost accounting systems for capturing and reporting manufacturing costs.