Exam 16: Job Order Costing

Selected accounts with some amounts omitted are as follows ​ ​ If the balance of Work in Process on August 31 is $220,000,what was the amount debited to Work in Process for factory overhead in August,assuming a factory overhead rate of 30% of direct labor costs?

Cranston Company estimates the following overhead costs for the coming year: Equipment depreciation $160,000 Equipment maintenance 60,000 Supervisory salaries 40,000 Factory rent ​ 100,000 Total $360,000 ​ Cranston is also budgeting $600,000 in direct labor costs and 15,000 machine hours for the coming year. (a)Calculate the predetermined overhead rate using direct labor costs as the allocation base. (b)Calculate the predetermined overhead rate using machine hours as the allocation base.

Match each of the following phrases with the term (a-e)that it most closely describes it.Each term will be used only once.​ -serves as the basis for recording direct labor on a job cost sheet

Which of the following is a product cost?

Record the journal entries for the following transactions: 1. March 10: 500 units of raw materials were purchased on account at $4.00 per unit. 2. March 15: 250 units of raw materials were requisitioned at $4.50 per unit for production,Job 872. 3. March 25: 215 units of raw materials were requisitioned at $5.00 per unit for production,Job 879.

At the end of the year,overhead applied was $42,000,000.Actual overhead was $40,300,000.Closing over / underapplied overhead into Cost of Goods Sold would cause net income to

A separate account for each material is found in a

Direct labor cost is an example of a period cost.

The following account appears in the ledger after only part of the postings have been completed for July,the first month of the current fiscal year: ​ Factory overhead is applied to jobs at the rate of 60% of direct labor cost.The actual factory overhead incurred for July was $75,000.Jobs completed during the month totaled $301,200.

Technics Inc.,a manufacturing company,utilizes job order costing.Each division establishes its own estimates regarding overhead,which are as follows: ​ Division A Division B Total estimated overhead $128,000 $261,000 Total estimated machine hours 16,000 72,500 Total estimated direct labor costs $155,000 $290,000 If Division A allocates overhead on the basis of machine hours,and Division B allocates overhead as a percentage of direct labor costs,what would the predetermined overhead rate be for each division?

A summary of the time tickets for August follows: ​ Present the journal entries to record (a)the labor cost incurred and (b)the application of factory overhead to production for August.The factory overhead rate is 70% of direct labor cost.

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

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

Match the costs that follow to the type of product cost (a-c)or designate as not a product cost (d). -factory depreciation

During the period,labor costs incurred on account amounted to $175,000,including $150,000 for production orders and $25,000 for general factory use.Factory overhead applied to production was $23,000.The entry to record the factory overhead applied to production is

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

National Survey Company uses a job order cost system.

For a manufacturing business,products that are in the process of being manufactured are referred to as

The entries to record cost and sale of a finished good on account is

For which of the following businesses would the process cost system be appropriate?