Question 1

A material requisition is a:

Accepted Answer

A) document prepared to show the movement of materials or products between departments. 
B) document used to order materials or supplies from the vendor or supplier. 
C) document used for charging material to production. 
D) document used to record receipt of materials or supplies from the vendor or supplier. 
A) document prepared to show the movement of materials or products between departments. 
B) document used to order materials or supplies from the vendor or supplier. 
C) document used for charging material to production. 
D) document used to record receipt of materials or supplies from the vendor or supplier.

Question 2

Indirect costs were understated. This error will cause:

Accepted Answer

A) the cost of goods manufactured to be overstated. 
B) the cost of goods sold to be overstated. 
C) the net income to be understated. 
D) None of these answers is correct. 
A) the cost of goods manufactured to be overstated. 
B) the cost of goods sold to be overstated. 
C) the net income to be understated. 
D) None of these answers is correct.

Question 3

Calculate the (a)cost of raw materials used and (b)total manufacturing costs from the following information.
   a. ________
b. ________

Accepted Answer

a. $89,000 (65,000 +

Question 4

The Overhead-Control account is used for the:

Accepted Answer

A) application of overhead to production and it has a debit balance. 
B) accumulation of all actual overhead costs and it has a credit balance. 
C) application of overhead to production and it has a credit balance. 
D) accumulation of all actual overhead costs and it has a debit balance. 
A) application of overhead to production and it has a debit balance. 
B) accumulation of all actual overhead costs and it has a credit balance. 
C) application of overhead to production and it has a credit balance. 
D) accumulation of all actual overhead costs and it has a debit balance.

Question 5

Record in general journal form the following transactions for Marble Manufacturing:

Accepted Answer

The answer of Record in general journal form the following...

Question 6

Lumber used in a furniture plant would be considered raw materials inventory.

Accepted Answer

A) True 
 B)False

Question 7

Calculate the cost of goods sold when beginning finished goods inventory equals $70,000, ending finished goods inventory $85,000, and cost of goods manufactured $600,000.

Accepted Answer

A) $615,000 
B) $445,000 
C) $685,000 
D) $585,000 
A) $615,000 
B) $445,000 
C) $685,000 
D) $585,000

Question 8

A shop foreman's salary is not considered direct labor.

Accepted Answer

A) True 
 B)False

Question 9

Which inventory account consists of manufacturing cost of goods that are complete?

Accepted Answer

A) Work-in-Process Inventory 
B) Raw Material Inventory 
C) Manufacturing Overhead 
D) Finished Goods 
A) Work-in-Process Inventory 
B) Raw Material Inventory 
C) Manufacturing Overhead 
D) Finished Goods

Question 10

If a company had a beginning balance of $5,000 in Finished Goods Inventory, an ending balance of $8,000 and cost of goods manufactured was $47,000 during the month, then the cost of goods sold for the month was $44,000.

Accepted Answer

A) True 
 B)False

Question 11

The statement of cost of goods manufactured does not include:

Accepted Answer

A) direct labor costs. 
B) raw material costs. 
C) manufacturing overhead. 
D) All of the above are included. 
A) direct labor costs. 
B) raw material costs. 
C) manufacturing overhead. 
D) All of the above are included.

Question 12

The entry to record selling a product that cost $14,000 would be a credit to Finished Goods Inventory $14,000, and a debit to Cost of Goods Sold $14,000.

Accepted Answer

A) True 
 B)False

Question 13

A document that is prepared to show how items have been shipped to customers is a:

Accepted Answer

A) receiving report. 
B) bill of lading. 
C) lot tickets. 
D) clock card. 
A) receiving report. 
B) bill of lading. 
C) lot tickets. 
D) clock card.

Question 14

Lumber used in construction of a building is part of:

Accepted Answer

A) raw material costs. 
B) labor costs. 
C) manufacturing overhead. 
D) None of these answers are correct. 
A) raw material costs. 
B) labor costs. 
C) manufacturing overhead. 
D) None of these answers are correct.

Question 15

In entries to record the movement of material, labor, and overhead through the operation of a company, the credit is the source and the debit is the destination.

Accepted Answer

A) True 
 B)False

Question 16

For each of the following, identify in Column 1 the category to which the account belongs, in Column 2 the normal balance for the account, in Column 3 the financial statement(s)on which the account balance is reported, and in Column 4 the account's nature (permanent/temporary).
-

Accepted Answer

The answer of For each of the following, identify in...

Question 17

Given the following accounts:
   Indicate the account(s)to be debited and credited to record the following transactions.
-Purchased raw materials on account.
Debit ________ & ________ & ________ Credit ________ & ________ & ________

Accepted Answer

The answer of Given the following accounts:
   Indicate...

Question 18

What inventories are included in determining the cost of goods sold?

Accepted Answer

A) Beginning and ending finished goods 
B) Beginning and ending raw materials 
C) Beginning and ending work-in-process 
D) None of these answers are correct. 
A) Beginning and ending finished goods 
B) Beginning and ending raw materials 
C) Beginning and ending work-in-process 
D) None of these answers are correct.

Question 19

If direct labor for the month is $40,000, overhead is applied based on direct labor, annual overhead is $600,000, and annual direct labor is $1,000,000, what is the entry to charge direct labor to production?

Accepted Answer

A) Debit Work-in-Process Inventory $40,000; credit Payroll $40,000 
B) Debit Overhead-Applied $40,000; credit Work-in-Process Inventory $40,000 
C) Debit Work-in-Process Inventory $24,000; credit Overhead-Applied $24,000 
D) Debit Work-in-Process Inventory $66,000; credit Overhead-Applied $66,000 
A) Debit Work-in-Process Inventory $40,000; credit Payroll $40,000 
B) Debit Overhead-Applied $40,000; credit Work-in-Process Inventory $40,000 
C) Debit Work-in-Process Inventory $24,000; credit Overhead-Applied $24,000 
D) Debit Work-in-Process Inventory $66,000; credit Overhead-Applied $66,000

Question 20

The three main inventories do not include which of the following?

Accepted Answer

A) Indirect labor 
B) Work-in-process 
C) Raw materials 
D) Finished goods 
A) Indirect labor 
B) Work-in-process 
C) Raw materials 
D) Finished goods

Exam 25: Manufacturing Accounting

A material requisition is a:

Indirect costs were understated. This error will cause:

Calculate the (a)cost of raw materials used and (b)total manufacturing costs from the following information. a. ________ b. ________

The Overhead-Control account is used for the:

Record in general journal form the following transactions for Marble Manufacturing:

Lumber used in a furniture plant would be considered raw materials inventory.

Calculate the cost of goods sold when beginning finished goods inventory equals $70,000, ending finished goods inventory $85,000, and cost of goods manufactured $600,000.

A shop foreman's salary is not considered direct labor.

Which inventory account consists of manufacturing cost of goods that are complete?

If a company had a beginning balance of $5,000 in Finished Goods Inventory, an ending balance of $8,000 and cost of goods manufactured was $47,000 during the month, then the cost of goods sold for the month was $44,000.

The statement of cost of goods manufactured does not include:

The entry to record selling a product that cost $14,000 would be a credit to Finished Goods Inventory $14,000, and a debit to Cost of Goods Sold $14,000.

A document that is prepared to show how items have been shipped to customers is a:

Lumber used in construction of a building is part of:

In entries to record the movement of material, labor, and overhead through the operation of a company, the credit is the source and the debit is the destination.

For each of the following, identify in Column 1 the category to which the account belongs, in Column 2 the normal balance for the account, in Column 3 the financial statement(s)on which the account balance is reported, and in Column 4 the account's nature (permanent/temporary). -

Given the following accounts: Indicate the account(s)to be debited and credited to record the following transactions. -Purchased raw materials on account. Debit ________ & ________ & ________ Credit ________ & ________ & ________

What inventories are included in determining the cost of goods sold?

If direct labor for the month is $40,000, overhead is applied based on direct labor, annual overhead is $600,000, and annual direct labor is $1,000,000, what is the entry to charge direct labor to production?

The three main inventories do not include which of the following?

Accounting Concepts and Procedures

Debits and Credits: Analyzing and Recording Business Transactions

Beginning the Accounting Cycle

The Accounting Cycle Continued

The Accounting Cycle Completed

Banking Procedure and Control of Cash

Calculating Pay and Payroll Taxes: The Beginning of the Payroll Process

Paying, Recording, and Reporting Payroll and Payroll Taxes: the Conclusion of the Payroll Process

Sales and Cash Receipts

Purchases and Cash Payments

Preparing a Worksheet for a Merchandise Company

Completion of the Accounting Cycle for a Merchandise Company

Accounting for Bad Debts

Notes Receivable and Notes Payable

Accounting for Merchandise Inventory

Accounting for Property, Plant, Equipment, and Intangible Assets

Partnership

Corporations: Organizations and Stock

Corporations: Stock Values, Dividends, Treasury Stocks, and Retained Earnings

Corporations and Bonds Payable

Statement of Cash Flows

Analyzing Financial Statements

The Voucher System

Departmental Accounting

Filters

Calculate the (a)cost of raw materials used and (b)total manufacturing costs from the following information. a. b.

Given the following accounts: Indicate the account(s)to be debited and credited to record the following transactions. -Purchased raw materials on account. Debit & & Credit & &