The following information is available pertaining to the Production Division: $\begin{array}{lrrr}&\text { Mixing Dept. }&\text { Finishing Dept. }&\text { Total }\\ \text { Overhead costs } & \$ 7,500 & \$ 22,500 & \$ 30,000 \\ \text { Direct labour hours } & 7,500 & 2,500 & 10,000 \\ \text { Machine hours } & 2,500 & 7,500 & 10,000 \end{array}$ $\text { Production information pertaining to Job } 4 \text { X5: }$ $\begin{array}{lrrr}&\text { Mixing Dept. }&\text { Finishing Dept. }&\text { Total }\\ \text { Prime costs } & \$ 1,250 & \$ 0 & \$ 1,250 \\ \text { Direct labour hours } & 250 & 0 & 250 \\ \text { Machine hours } & 1 & 0 & 1 \\ \text { Units produced } & 500 & 0 & 500 \end{array}$ -Refer to the figure.Departmental overhead notes for the Mixing Department are based on direct labour hours,while departmental overhead rates for the Finishing Department are based on machine hours.Based on departmental overhead rates,what is the cost of Job 4X5?

A) $31,250 B) $8,750 C) $2,000 D) $1,250 A) $31,250 B) $8,750 C) $2,000 D) $1,250

The King Corporation manufactures custom-made furniture. The following data pertains to Job X4A: \[\begin{array} { l l } \text { Direct materals placed into production } & \$ 9,000 \\ \text { Direct labour hours warked } & 300 \text { hours } \\ \text { Direct labou rate per hour } & \$ 15 \\ \text { Machine hours worked } & 100 \text { hours } \end{array}\] Factory overhead rate is $22.50 per machine hour.Job X4A consists of 500 units. -Refer to the figure.One-half of Job X4A was sold for $10,000.What is the total amount of costs assigned to Job X4A?

A) $9,000 B) $13,500 C) $15,750 D) $20,250 A) $9,000 B) $13,500 C) $15,750 D) $20,250

The Kraig Corporation manufactures custom-made purses. The following data pertains to Job XY5: Factory overhead is applied using a plant-wide rate based on direct labour hours. \[\begin{array} { l l } \text { Direct materials placed into production } & \$ 4,000 \\ \text { Direct labour hours worked } & 50 \text { hours } \\ \text { Direct labour rate per hour } & \$ 15 \\ \text { Machine hours worked } & 100 \text { hours } \end{array}\] Factory overhead was budgeted at $60,000 for the year and the direct labour hours were estimated to be 15,000. Job XY5 consists of 50 units. -Refer to the figure.What the total cost assigned to Job XY5?

A) $4,200 B) $4,400 C) $4,950 D) $5,150 A) $4,200 B) $4,400 C) $4,950 D) $5,150

The Kraig Corporation manufactures custom-made purses. The following data pertains to Job XY5: Factory overhead is applied using a plant-wide rate based on direct labour hours. \[\begin{array} { l l } \text { Direct materials placed into production } & \$ 4,000 \\ \text { Direct labour hours worked } & 50 \text { hours } \\ \text { Direct labour rate per hour } & \$ 15 \\ \text { Machine hours worked } & 100 \text { hours } \end{array}\] Factory overhead was budgeted at $60,000 for the year and the direct labour hours were estimated to be 15,000. Job XY5 consists of 50 units. -Refer to the figure.What is the materials cost per unit for Job XY5?

A) $4 B) $40 C) $80 D) $267 A) $4 B) $40 C) $80 D) $267

The following information is available pertaining to the Production Division: $\begin{array}{lrrr}&\text { Mixing Dept. }&\text { Finishing Dept. }&\text { Total }\\ \text { Overhead costs } & \$ 7,500 & \$ 22,500 & \$ 30,000 \\ \text { Direct labour hours } & 7,500 & 2,500 & 10,000 \\ \text { Machine hours } & 2,500 & 7,500 & 10,000 \end{array}$ $\text { Production information pertaining to Job } 4 \text { X5: }$ $\begin{array}{lrrr}&\text { Mixing Dept. }&\text { Finishing Dept. }&\text { Total }\\ \text { Prime costs } & \$ 1,250 & \$ 0 & \$ 1,250 \\ \text { Direct labour hours } & 250 & 0 & 250 \\ \text { Machine hours } & 1 & 0 & 1 \\ \text { Units produced } & 500 & 0 & 500 \end{array}$ -Refer to the figure.What is the overhead rate for the Finishing Department based on machine hours?

A) $1.00 B) $2.25 C) $3.00 D) $9.00 A) $1.00 B) $2.25 C) $3.00 D) $9.00

Griswold Corporation is a job-order costing company that uses activity-based costing to apply overhead to jobs. The following overhead activities were budgeted for the year. $\begin{array}{|l|l|l|c|} \hline \text { Activity } & \text { Cost } & \text { Driver } & \text { Amount of driver } \\ \hline \text { Setups } & \$ 240,000 & \text { number of setups } & 6,000 \\ \hline \text { Purchasing } & 160,000 & \text { number of parts } & 20,000 \\ \hline \text { Other overhead } & 300,000 & \text { direct labour hours } & 80,000 \\ \hline \end{array}$ The following information about the jobs was given for September. $\begin{array}{|l|r|r|r|r|} \hline & \text { Job 101 } & \text { Job 102 } & \text { Job 103 } & \text { Job 104 } \\ \hline \text { Balance 9/1 } & \$ 64,900 & \$ 40,770 & \$ 30,500 & 0 \\ \hline \text { Direct materials } & 54,000 & 37,900 & 25,000 & 11,000 \\ \hline \text { Direct labour } & 80,000 & 38,500 & 43,000 & 21,000 \\ \hline \text { Number of setups } & 40 & 10 & 30 & 200 \\ \hline \text { Number of parts } & 300 & 80 & 400 & 500 \\ \hline \text { Direct labour hours } & 5,000 & 2,400 & 5,200 & 1,200 \\ \hline \end{array}$ By September 30, Jobs 102 and 103 were completed and sold. The remaining jobs were still in process. -Refer to the figure.The ending work in process would consist of the costs of what jobs?

A) Job 101 + Job 102 + Job 103 B) Job 101 + Job 102 + Job 103 + Job 104 C) Job 101 + Job 104 D) Job 102 + Job 103 A) Job 101 + Job 102 + Job 103 B) Job 101 + Job 102 + Job 103 + Job 104 C) Job 101 + Job 104 D) Job 102 + Job 103

Exam 4: Job-Order Costing Systems

The following information is available pertaining to the Production Division: Mixing Dept. Finishing Dept. Total Overhead costs \ 7,500 \ 22,500 \ 30,000 Direct labour hours 7,500 2,500 10,000 Machine hours 2,500 7,500 10,000 $\text { Production information pertaining to Job } 4 \text { X5: }$ Mixing Dept. Finishing Dept. Total Prime costs \ 1,250 \ 0 \ 1,250 Direct labour hours 250 0 250 Machine hours 1 0 1 Units produced 500 0 500 -Refer to the figure.Departmental overhead notes for the Mixing Department are based on direct labour hours,while departmental overhead rates for the Finishing Department are based on machine hours.Based on departmental overhead rates,what is the cost of Job 4X5?

(Multiple Choice)

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Question 81

Which of the following transactions in a job-order costing system requires the procedure of merely moving a job-order cost sheet from one file to another?

(Multiple Choice)

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Question 82

What is the most important factor that causes service firms to generally rank lower in customer satisfaction than manufacturing firms?

(Essay)

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Question 83

What is the term for the maximum output that can be realized if everything operates efficiently?

(Multiple Choice)

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Question 84

The King Corporation manufactures custom-made furniture. The following data pertains to Job X4A: Direct materals placed into production \ 9,000 Direct labour hours warked 300 hours Direct labou rate per hour \ 15 Machine hours worked 100 hours Factory overhead rate is $22.50 per machine hour.Job X4A consists of 500 units. -Refer to the figure.One-half of Job X4A was sold for $10,000.What is the total amount of costs assigned to Job X4A?

(Multiple Choice)

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Question 85

What is the term for a collection of all job cost sheets?

(Multiple Choice)

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Question 86

What information will be found on a materials requisition form?

(Multiple Choice)

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Question 87

Which of the following firms would make extensive use of service costing?

(Multiple Choice)

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Question 88

Alpha Company manufactures customized motors on a job-order basis. Job 492 is an order for 100 units. It requires the following: $\begin{array}{lr}\text { Direct materials } & \$ 3,000 \\\text { Direct labour }(\$ 10 / \mathrm{hr}) & 1,000 \\\text { Overhead }(150 \% \text { DL } \$) & 1,500\end{array}$ After inspection, 2 units required rework, comprising 8 additional direct labour hours and $60 of materials. -Refer to the figure.If the rework is considered abnormal spoilage,what is the cost of job 492?

(Multiple Choice)

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Question 89

What is the flow of costs through the system in a traditional enterprise?

(Multiple Choice)

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Question 90

In a job-order costing system,if costs are incurred to rework a job due to inadequate training of personnel,what would be the journal entry for these costs?

(Multiple Choice)

4.8/5

(90)

Question 91

The Kraig Corporation manufactures custom-made purses. The following data pertains to Job XY5: Factory overhead is applied using a plant-wide rate based on direct labour hours. Direct materials placed into production \ 4,000 Direct labour hours worked 50 hours Direct labour rate per hour \ 15 Machine hours worked 100 hours Factory overhead was budgeted at $60,000 for the year and the direct labour hours were estimated to be 15,000. Job XY5 consists of 50 units. -Refer to the figure.What the total cost assigned to Job XY5?

(Multiple Choice)

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Question 92

The Kraig Corporation manufactures custom-made purses. The following data pertains to Job XY5: Factory overhead is applied using a plant-wide rate based on direct labour hours. Direct materials placed into production \ 4,000 Direct labour hours worked 50 hours Direct labour rate per hour \ 15 Machine hours worked 100 hours Factory overhead was budgeted at $60,000 for the year and the direct labour hours were estimated to be 15,000. Job XY5 consists of 50 units. -Refer to the figure.What is the materials cost per unit for Job XY5?

(Multiple Choice)

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Question 93

What are the three inventory accounts on a balance sheet for a manufacturer?

(Multiple Choice)

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Question 94

Normal costing uses which cost in work in process?

(Multiple Choice)

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Question 95

Unit costs are critical information for what type of financial reporting?

(Multiple Choice)

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Question 96

The following information is available pertaining to the Production Division: Mixing Dept. Finishing Dept. Total Overhead costs \ 7,500 \ 22,500 \ 30,000 Direct labour hours 7,500 2,500 10,000 Machine hours 2,500 7,500 10,000 $\text { Production information pertaining to Job } 4 \text { X5: }$ Mixing Dept. Finishing Dept. Total Prime costs \ 1,250 \ 0 \ 1,250 Direct labour hours 250 0 250 Machine hours 1 0 1 Units produced 500 0 500 -Refer to the figure.What is the overhead rate for the Finishing Department based on machine hours?

(Multiple Choice)

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Question 97

What source document is used to assign direct labour costs to individual jobs?

(Multiple Choice)

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Question 98

Griswold Corporation is a job-order costing company that uses activity-based costing to apply overhead to jobs. The following overhead activities were budgeted for the year. Activity Cost Driver Amount of driver Setups \ 240,000 number of setups 6,000 Purchasing 160,000 number of parts 20,000 Other overhead 300,000 direct labour hours 80,000 The following information about the jobs was given for September. Job 101 Job 102 Job 103 Job 104 Balance 9/1 \ 64,900 \ 40,770 \ 30,500 0 Direct materials 54,000 37,900 25,000 11,000 Direct labour 80,000 38,500 43,000 21,000 Number of setups 40 10 30 200 Number of parts 300 80 400 500 Direct labour hours 5,000 2,400 5,200 1,200 By September 30, Jobs 102 and 103 were completed and sold. The remaining jobs were still in process. -Refer to the figure.The ending work in process would consist of the costs of what jobs?

(Multiple Choice)

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Question 99

Which of the following costing system assigns actual costs of materials to inventory?

(Multiple Choice)

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Question 100

Which of the following transactions in a job-order costing system requires the procedure of merely moving a job-order cost sheet from one file to another?

What is the most important factor that causes service firms to generally rank lower in customer satisfaction than manufacturing firms?

What is the term for the maximum output that can be realized if everything operates efficiently?

What is the term for a collection of all job cost sheets?

What information will be found on a materials requisition form?

Which of the following firms would make extensive use of service costing?

What is the flow of costs through the system in a traditional enterprise?

In a job-order costing system,if costs are incurred to rework a job due to inadequate training of personnel,what would be the journal entry for these costs?

What are the three inventory accounts on a balance sheet for a manufacturer?

Normal costing uses which cost in work in process?

Unit costs are critical information for what type of financial reporting?

What source document is used to assign direct labour costs to individual jobs?

Which of the following costing system assigns actual costs of materials to inventory?

A: Basic Cost Management Concepts

B: Basic Cost Management Concepts

Cost Behaviour

Cost-Volume-Profit Analysis

Process Costing

Activity-Based Costing

Allocating Costs of Support Departments and Joint Products

Budgeting for Planning and Control

Standard Costing: a Functional-Based Control Approach

Responsibility Accounting,performance Evaluation,and Transfer Pricing

Tactical Decision Making

Pricing and Profitability Analysis

Strategic Cost Management

Activity-Based Management

The Balanced Scorecard: Strategic-Based Control

Quality and Environmental Cost Management

Lean Accounting and Productivity Measurement

Inventory Management: Economic Order Quantity,jit,and the Theory of Constraints

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