Exam 16: Cost Flows and Business Organizations

After the completion of a product, the product costs are transferred to:

A department adds all raw materials at the very beginning of the process and incurs conversion costs evenly throughout the process. For the month of March, there were no units in the beginning work-in-process inventory; 5,000 units were started in March, and there were 1,500 units that were 60% complete in the ending work-in-process inventory at the end of March. What were the equivalent units of production for conversion costs for the month of March?

Use the following information to prepare a cost of goods manufactured schedule for Bellevue Company for the year ended December 31, 2012: Ending raw materials inventory \ 40,800 Ending work-in-process inventory 52,800 Depreciation-factory 16,800 Direct labor 84,000 Indirect labor 10,000 Indirect materials 14,400 insurance-factory 18,000 Begintring work-in-process inventory 64,800 Beginning raw materials inventory 36,000 Payroll taxes-factory 16,800 Raw materials purchased 76,800 predeterminded overhead rate 85\% of direct labor cost

Hopple Company uses a FIFO process costing system. Costs in beginning inventory include $9,600 for materials and $8,000 for conversion costs. The following costs were incurred in January for the Dyeing Department: Material is added at the beginning of the process and conversion costs are incurred evenly throughout the process. If equivalent units are 3,200 for materials and 2,800 for conversion, what is the total product cost per unit for a unit completed during January?

A debit to Work-in-Process Inventory is sometimes accompanied by a credit to:

Clibon Manufacturing Company uses a job order costing system. All relevant information for the products completed in July is provided below:

Exhibit 16-1 Jack Corporation used a job order costing system to account for jobs in its construction division. During April, the following transactions occurred: -Refer to Exhibit 16-1. Given the information above, the entry to record the direct labor costs of $8,000 includes a:

Wieland Company uses a job order costing system. Thus, management must establish a predetermined overhead rate for applying manufacturing overhead. During the past three months, the following data have been accumulated: In good form, prepare a schedule of predetermined overhead rates for each of the three years assuming the rate is based on:

Which of the following costs is included in manufacturing overhead?

Turco Consulting is providing consulting services to a client. For this consulting assignment, Turco used $500 in supplies and 175 hours of consulting time. Turco charges clients $200 per hour and pays its consultants $115 per hour. Turco assigns overhead to jobs based on a rate of $50 per labor hour. The overhead assigned to this consulting service is:

Which of the following is NOT a part of job order costing?

If manufacturing overhead is applied on the basis of machine hours and actual machine hours are more than anticipated, which of the following is true?

Which of the following companies is most likely to use job order costing?

When comparing a service company to a manufacturing company, the service company is less likely to have:

Exhibit 16-2 Dietrich Company has the following data for August: - Refer to Exhibit 16-2. Given the information above, if manufacturing overhead is applied at the rate of 80% of direct labor cost, overhead for August is:

Delaware Manufacturing had the following information for March 2012: Based on this information, the cost of goods manufactured is:

In the cost of goods sold calculation, overapplied manufacturing overhead is usually:

Which of the following is NOT true about cost of goods manufactured?

The management process in a service organization is much like that of a(n):

An estimate of the overhead that will be incurred for each unit is the: