Exam 2: Product Costing: Manufacturing Processes, Cost Terminology, and Cost Flows

Which of the following is a risk that would more likely be seen in a lean production and just-in-time (JIT) manufacturing environment than in a traditional production environment?

In the books of a manufacturing company, the journal entry to record raw materials used would include a:

Jasper Corporation Jasper Corporation incurred the following costs which includes salaries and wages in April: Refer to the Jasper Corporation information above. Total period costs are:

Creative Products Inc. incurred the following costs (in alphabetical order) during 2012 related to one of its products: During the year, 3,000 units were produced out of which 2,750 units were sold for $30 each. Required:

Which of the following decreases the work in process account?

Classify the following as either direct labor (DL), indirect labor (IL), or a period cost (P).

When the cost of a product is matched with its sales revenue, the result (difference) is called:

In 2011 Bradshaw Inc. incurred $40,000 of manufacturing overhead costs which will be paid for in 2012. Which of the following would be the correct journal entry to record this transaction?

Michael's Manufacturing, Inc. Michael's Manufacturing, Inc. has the following information available for the month of July: Refer to the Michael's Manufacturing, Inc. information above. Cost of goods manufactured for July is:

Which of the following statements regarding the traditional manufacturing environment is not true?

Which of the following is an example of a manufacturing overhead cost?

Which of the following is a product cost?

In the books of a manufacturing company, the journal entry to record cost of goods manufactured would include a:

Hillsborough Street Manufacturing Inc. Hillsborough Street Manufacturing Inc. incurred the following costs in 2011: 45,000 units were produced during the year out of which 38,000 units were sold for $10 each. There was no beginning or ending raw materials or work in process inventory. Refer to the Hillsborough Street Manufacturing Inc. information above. What is the net operating income for the year? (Ignore taxes)

Thompson Inc. has the following selected information available for 2011: Manufacturing overhead costs in 2011 amounted to:

When nonmanufacturing costs are subtracted from gross margin, the result is called:

A "manufacturing cell" is defined as:

Clyde Retailers is a local merchandiser which buys vintage clothing and sells it to local college students. Clyde began the year with inventory costing $60,000. During the year inventory costing $300,000 was purchased. At the end of the year, inventory costing $45,000 still remained. What was Clyde's cost of goods sold for the year?

Which of the following types of employees would most likely have their wage be classified as indirect labor?

Hudson Inc. Hudson Inc. has the following information available for September: Refer to the Hudson Inc. information above. Cost of goods sold for September is: