REO Speedwagon Company produces plastic cups in a one-department process.The following information is available: \[\begin{array} { l r } \text { Work-in-process inventory, beginning } & 0 \\ \text { Units started } & 60,000 \\ \text { Units complete and transferred out } & 48,000 \\ \text { Work-in-process inventory, ending } & 12,000 \\ & \\ \text { Direct materials added } & \$ 240,000 \\ \text { Direct labor } & \$ 165,600 \\ \text { Factory overhead } & \$ 82,800 \end{array}\] The units still in process are 100% complete with respect to direct materials and 60% complete with respect to conversion costs.The cost of the ending work-in-process inventory is _____.

A) $80,400 B) $102,000 C) $61,200 D) $122,100 A) $80,400 B) $102,000 C) $61,200 D) $122,100

Helen Company uses a job-order-cost system and had the following data available: \[\begin{array} { l r } \text { Beginning direct-materials inventory } & \$ 26,000 \\ \text { Beginning WIP inventory } & 64,000 \\ \text { Beginning finished-goods inventory } & 58,000 \\ \text { Direct materials purchased on account } & 148,000 \\ \text { Direct materials requisitioned } & 82,000 \\ \text { Direct-labor cost incurred } & 130,000 \\ \text { Factory overhead incurred } & 146,000 \\ \text { Cost of goods completed } & 292,000 \\ \text { Cost of goods sold } & 256,000 \\ \text { Overhead applicati on rate } & 125 \% \\ \quad \text { as a percent of direct-labor cost) } & \end{array}\] The journal entry to record the cost of goods completed would include a _____.

A) debit to WIP Inventory for $256,000 B) credit to Finished-Goods Inventory for $292,000 C) credit to Cost of Goods Sold for $256,000 D) credit to WIP Inventory for $292,000 A) debit to WIP Inventory for $256,000 B) credit to Finished-Goods Inventory for $292,000 C) credit to Cost of Goods Sold for $256,000 D) credit to WIP Inventory for $292,000

Billy Company produces calendars in a one-department process.The following information is available: $\begin{array}{lr} \text { Direct materials added } & \$ 30,000 \\ \text { Directlabor } & \$ 20,700 \\ \text { Factory overhead } & \$ 10,350 \\ & \\ \text { Work-in-process inventory, beginning } & -0- \\ \text { Units started } & 15,000 \\ \text { Units completed and transferred out } & 12,000 \\ \text { Work-in-process inventory, ending } & 3,000 \end{array}$ The units still in process are 100% complete with respect to direct materials and 60% complete with respect to conversion costs.The cost of one completed unit is _____.

A) $4.42 B) $4.25 C) $4.07 D) $5.08 A) $4.42 B) $4.25 C) $4.07 D) $5.08

Exam 14: Job-Costing and Process-Costing Systems

Eugene Company manufactures potato chips in a two-department process, Cutting and Frying.In the Cutting department, 10,000 pounds were started in production and 8,400 pounds were completed and transferred to the Frying department, while 1,600 pounds were still in process.These pounds were only 75% complete as far as conversion costs.The equivalent units for materials are _____.

(Multiple Choice)

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(80)

Question 41

Examples of potential factory overhead activity centers include receiving, testing, and packaging.

(True/False)

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Question 42

In backflush costing, any remaining balance in the conversion costs account at the end of an accounting period is charged to _____.

(Multiple Choice)

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Question 43

Orton Clothing had 30,000 shirts in process at May 31 50% convert?ed).All direct materials are added at the beginning of the production process.During the month, 140,000 shirts were transferred to Finished Goods Inventory.There was no beginning inventory._____ shirts were started during May.

(Multiple Choice)

4.7/5

(79)

Question 44

In nonprofit organizations, the product is usually called a program or a class of service.

(True/False)

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(72)

Question 45

Backflush costing has only two categories of costs: materials and conversion costs.

(True/False)

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(94)

Question 46

The _____ account is supported by a file of job?cost records for partially completed jobs.

(Multiple Choice)

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Question 47

REO Speedwagon Company produces plastic cups in a one-department process.The following information is available: Work-in-process inventory, beginning 0 Units started 60,000 Units complete and transferred out 48,000 Work-in-process inventory, ending 12,000 Direct materials added \ 240,000 Direct labor \ 165,600 Factory overhead \ 82,800 The units still in process are 100% complete with respect to direct materials and 60% complete with respect to conversion costs.The cost of the ending work-in-process inventory is _____.

(Multiple Choice)

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(86)

Question 48

In a job-cost system, all costs for a particular product service or batch of product are recorded on the:

(Multiple Choice)

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(77)

Question 49

Product costs appear as cost of goods sold in income statements and as finished?goods inventory values in balance sheets.

(True/False)

4.9/5

(76)

Question 50

A credit to _____ would be part of the entry to record the incurrence of direct labor costs.

(Multiple Choice)

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(82)

Question 51

Triple H Company manufactures potato chips in a two-department process, Cutting and Frying.In the Cutting department, 10,000 pounds were started in production and 8,400 pounds were completed and transferred to the Frying department, while 1,600 pounds were still in process.These pounds were only 80% complete as far as conversion costs.The equivalent units for conversion costs are _____.

(Multiple Choice)

5.0/5

(74)

Question 52

The entry to record the requisition of direct materials would include a debit to Materials Inventory.

(True/False)

4.9/5

(71)

Question 53

A _____ would be part of the entry to record the sale of goods.

(Multiple Choice)

4.9/5

(68)

Question 54

Helen Company uses a job-order-cost system and had the following data available: Beginning direct-materials inventory \ 26,000 Beginning WIP inventory 64,000 Beginning finished-goods inventory 58,000 Direct materials purchased on account 148,000 Direct materials requisitioned 82,000 Direct-labor cost incurred 130,000 Factory overhead incurred 146,000 Cost of goods completed 292,000 Cost of goods sold 256,000 Overhead applicati on rate 125\% as a percent of direct-labor cost) The journal entry to record the cost of goods completed would include a _____.

(Multiple Choice)

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Question 55

Some backflush systems eliminate the finished-goods inventory accounts.

(True/False)

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Question 56

_____ is a product cost.

(Multiple Choice)

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Question 57

Records of materials issued to particular jobs

(Short Answer)

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Question 58

Billy Company produces calendars in a one-department process.The following information is available: Direct materials added \ 30,000 Directlabor \ 20,700 Factory overhead \ 10,350 Work-in-process inventory, beginning -0- Units started 15,000 Units completed and transferred out 12,000 Work-in-process inventory, ending 3,000 The units still in process are 100% complete with respect to direct materials and 60% complete with respect to conversion costs.The cost of one completed unit is _____.

(Multiple Choice)

4.9/5

(68)

Question 59

Identify which one of the following statements is true.

(Multiple Choice)

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(97)

Question 60

Showing 41 - 60 of 157

Examples of potential factory overhead activity centers include receiving, testing, and packaging.

In backflush costing, any remaining balance in the conversion costs account at the end of an accounting period is charged to _____.

Orton Clothing had 30,000 shirts in process at May 31 50% convert?ed).All direct materials are added at the beginning of the production process.During the month, 140,000 shirts were transferred to Finished Goods Inventory.There was no beginning inventory._____ shirts were started during May.

In nonprofit organizations, the product is usually called a program or a class of service.

Backflush costing has only two categories of costs: materials and conversion costs.

The _____ account is supported by a file of job?cost records for partially completed jobs.

In a job-cost system, all costs for a particular product service or batch of product are recorded on the:

Product costs appear as cost of goods sold in income statements and as finished?goods inventory values in balance sheets.

A credit to _____ would be part of the entry to record the incurrence of direct labor costs.

The entry to record the requisition of direct materials would include a debit to Materials Inventory.

A _____ would be part of the entry to record the sale of goods.

Some backflush systems eliminate the finished-goods inventory accounts.

_____ is a product cost.

Records of materials issued to particular jobs

Identify which one of the following statements is true.

Managerial Accounting, the Business Organization, and Professional Ethics

Introduction to Cost Behavior and Cost-Volume Relationships

Measurement of Cost Behavior

Cost Management Systems and an Introduction to Activity-Based Costing

Relevant Information and Decision Making With a Focus on Pricing Decisions

Relevant Information and Decision Making: Operational Decisions

Introduction to Budgets and Preparing the Master Budget

Flexible Budgets and Variance Analysis

Management Control Systems and Responsibility Accounting

Management Control in Decentralized Organizations

Capital Budgeting

Cost Allocation

Accounting for Overhead Costs

Basic Accounting: Concepts, Techniques, and Conventions

Understanding Corporate Annual Reports: Basic Financial Statements

Understanding and Analyzing Consolidated Financial Statements

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