Exam 5: Job Costing Systems

If estimated production overhead in the printing department is $120,000 and actual overhead is $116,000 and estimated machine hours in the printing department are 30,000 hours and actual machine hours are 32,000 hours, using normal costing what is the overhead recovery rate for the printing department?

All of the following are likely to use job costing except:

Job costing is frequently used in service industries.

In a job costing system the accounting entry to record the purchase of direct materials is:

Overapplied overhead occurs when actual costs are more than the amount of overhead allocated.

Under a job costing system, as actual overhead costs are incurred, they are debited to an overhead control account.

Prime costs are $72,000 for the period and overhead is 40% of the period's total manufacturing costs. If beginning work in process was $12,500 and ending work in process is $10,000 the cost of goods manufactured is:

The job cost record does not include non-traceable costs assigned to a particular job.

Under a job costing system the total cost of all the incomplete jobs recorded in the subsidiary ledger is reconciled to the

Job costing is used when each prod uct or service is mass produced,e.g. the production of chess sets.

In a job costing system the accounting entry to record the completion of job No 876 is:

Estimated production overhead in the printing department is $150,000 and actual overhead is $154,000 and estimated machine hours in the printing department are 3,000 hours and actual machine hours are 3,300 hours. Job 175 used 6 printing machine hours. Using normal costing what is the printing department overhead charged to job 175?

A rule of thumb for deciding if overhead over or under applied is a material amount is:

A cost driver is a synonym for an allocation base.

Pete's Plastic Products makes plastic toys. The injection molding machines leave behind plastic that can be ground up and used again in the next batch of production. The entry to record this in the ledger includes:

Under a job costing system the opportunity costs of spoilage are generally not measured.

The cost that would not be included as an inventoriable product cost is:

Gloria Garments makes a generic brand of uniform it sells to a multinational chain or retail stores. Defective units have their labels removed and are sold as 'seconds'. This is an example of:

The accounting standard dealing with inventories is AASB 102.

The statement concerning actual and normal costing that is true is: