Exam 17: Job Order Costing

Activity-based costing is a method of accumulating and allocating costs by department.

A difference in quantity of materials used on two comparable jobs may be caused by

A manufacturer may employ a job order cost system for some of its products and a process cost system for others.

During April, Cavy Company incurred factory overhead as follows: Indirect materials \ 11,000 Factory supervisi on labor 4,000 Utilities 500 Depreciation fact ory) 700 Small tools 300 Equipment rental 750 Record the entry for factory overhead incurred during April.

Match each of the following phrases with the term a-e) that it most closely describes it. Each term will be used only once. -prepared when materials that have been ordered are received and inspected

Match the costs that follow to the type of product cost a-c) or designate as not a product cost d). -president's salary

Which of the following would most likely use a job order costing system?

The direct labor and overhead costs of providing services to clients are accumulated in a work in process account.

Which of the following is a product cost?

Period costs are

Period costs are costs that are incurred for the production requirements of a certain period.

Which of the following is not a characteristic of a job order costing system?

When Job 117 was completed, direct materials totaled $4,400; direct labor, $5,600; and factory overhead, $2,400. A total of 1,000 units were produced at a per-unit cost of

A widely used activity base for developing factory overhead rates in highly automated settings is

A summary of the materials requisitions completed during a period serves as the basis for transferring the cost of the materials from the controlling account in the general ledger to the controlling accounts for

Six selected transactions for the current month are indicated by letters in the following T accounts in a job order cost accounting system: Describe each of the six transactions.

Match each of the following phrases with the term a-e) that it most closely describes it. Each term will be used only once. -the process by which factory overhead is assigned to a cost object

All of the following are examples of activity bases except

In the job order costing system, the finished goods account is the controlling account for the factory overhead ledger.

In a factory with several processing departments, a single factory overhead rate may not provide accurate product costs and effective cost control.