Exam 2: Job-Order Costing

Manufacturing overhead was estimated to be $250,000 for the year along with 20,000 direct labor hours. Actual manufacturing overhead was $225,000, and actual direct labor hours were 19,000. To dispose of the balance in the Manufacturing Overhead account, which of the following would be correct?

Jackson Company had the following information for the year: Jackson Company used a predetermined overhead rate using estimated overhead of $320,000 and 8,000 estimated direct labor hours. Assume the only inventory balance is an ending Finished Goods balance of $19,000. How much overhead was applied during the year?

When direct materials are used in production (as noted by a materials requisition form), which of the following accounts is credited?

A job cost sheet will record the direct materials and direct labor used by the job but not the manufacturing overhead applied

The source document that captures how much time a worker has spent on various jobs during the period is a:

A materials requisition form is used to authorize the purchase of direct materials

When units are sold, the cost associated with the units is credited to which account?

Which of the following types of firms would most likely use job order costing?

The Cost of Goods Manufactured Report includes all of the following except:

Manufacturing overhead was estimated to be $500,000 for the year along with 20,000 direct labor hours. Actual manufacturing overhead was $450,000, and actual direct labor hours were 19,000. The amount of manufacturing overhead applied to production would be:

Overhead costs are underapplied if the amount applied to Work in Process is:

In recording the purchase of materials that are not traced to any specific job, which of the following is correct?

Manufacturing overhead was estimated to be $250,000 for the year along with 20,000 direct labor hours. Actual manufacturing overhead was $225,000, and actual direct labor hours were 19,000. Which of the following would be correct?

Sawyer Company had the following information for the year: Sawyer Company used a predetermined overhead rate using estimated overhead of $320,000 and 8,000 estimated direct labor hours. Assume the only inventory balance is an ending Finished Goods Inventory balance of $9,000. What was adjusted cost of goods sold?

Manufacturing overhead was estimated to be $400,000 for the year along with 20,000 direct labor hours. Actual manufacturing overhead was $415,000, and actual labor hours were 21,000. To dispose of the balance in the Manufacturing Overhead account, which of the following would be correct?

McGown Corp. has the following information: Additional information for the year is as follows: Compute the unadjusted cost of goods sold.

The current manufacturing costs include ______ direct labor, ______ direct materials, and _______ manufacturing overhead.

Manufacturing overhead was estimated to be $400,000 for the year along with 20,000 direct labor hours. Actual manufacturing overhead was $415,000, actual labor hours were 21,000. The predetermined manufacturing overhead rate per direct labor hour would be:

Which of the following would be used to record the labor cost that is traceable to a specific job?

Shellenback Inc. has provided the following information for 20x5: a. Purchased raw materials on account for $200,000. b. Issued $185,000 in raw materials to production ($12,000 were not traceable to specific jobs). c. Incurred $155,000 in direct labor costs (14,750 hours), $52,500 in supervision costs (paid in cash). d. Incurred the following additional manufacturing overhead costs: factory lease $22,000 (paid in cash); depreciation on equipment $26,000; factory utilities $13,500 (paid in cash). e. Incurred the following nonmanufacturing costs, both paid in cash: advertising $55,000; sales commissions $58,000. f. Applied manufacturing overhead to jobs in process at a rate of $9 per direct labor hour. g. Completed jobs costing a total of $457,000. h. Sold jobs for $735,000 on account. The cost of the jobs was $441,000. i. Closed the manufacturing overhead account balance. Prepare the journal entries to record these transactions.