Question 1

What are the equivalent units for conversion costs for the month in the first processing department?

Accepted Answer

A) 7,070 
B) 6,800 
C) 8,600 
D) 270 
A) 7,070 
B) 6,800 
C) 8,600 
D) 270

Question 2

Which of the following companies would be most likely to use a process costing system?

Accepted Answer

A) a shipbuilder 
B) a furniture manufacturer 
C) a law firm 
D) a utility producing natural gas 
A) a shipbuilder 
B) a furniture manufacturer 
C) a law firm 
D) a utility producing natural gas

Question 3

Chargualaf Corporation uses the weighted-average method in its process costing. The following data pertain to its Assembly Department for September.   Required:
Compute the equivalent units of production for both materials and conversion costs for the Assembly Department for September using the weighted-average method.

Accepted Answer

Weighted-a

Question 4

Barraza Corporation uses a weighted-average process costing system. Barraza has two direct materials. One of these materials is added at the beginning of the production process. The other material is added when processing is 50% complete. When will the equivalent units of production for these two materials be equal?

Accepted Answer

A) when processing on beginning work in process is less than 50% complete at the start of the period. 
B) when processing on beginning work in process is more than 50% complete at the start of the period. 
C) when processing on ending work in process is over 50% complete. 
D) when processing on ending work in process is less than 50% complete. 
A) when processing on beginning work in process is less than 50% complete at the start of the period. 
B) when processing on beginning work in process is more than 50% complete at the start of the period. 
C) when processing on ending work in process is over 50% complete. 
D) when processing on ending work in process is less than 50% complete.

Question 5

A number of companies in different industries are listed below:
1. Synthetic rubber manufacturer
2. Contract printer that produces posters, books, and pamphlets to order
3. Dress manufacturer that makes clothing on contract for department stores
4. Aluminum refiner that makes aluminum ingots from bauxite ore
5. Asparagus cannery
6. Winery that produces a number of varietal wines
Required:
For each company, indicate whether the company is most likely to use job-order costing or process costing.

Accepted Answer

1. Synthetic rubber manufacturer; Proces

Question 6

The cost of ending work in process inventory in the first processing department according to the company's cost system is closest to:

Accepted Answer

A) $32,892 
B) $23,325 
C) $17,413 
D) $38,696 
A) $32,892 
B) $23,325 
C) $17,413 
D) $38,696

Question 7

The cost of ending work in process inventory in the first processing department according to the company's cost system is closest to:

Accepted Answer

A) $32,501 
B) $7,647 
C) $38,237 
D) $19,773 
A) $32,501 
B) $7,647 
C) $38,237 
D) $19,773

Question 8

Which of the following are needed to compute the cost per equivalent unit for materials under the weighted-average method of process costing?

Accepted Answer

A) Option A 
B) Option B 
C) Option C 
D) Option D 
A) Option A 
B) Option B 
C) Option C 
D) Option D

Question 9

The cost per equivalent unit for conversion costs for the first department for the month is closest to:

Accepted Answer

A) $35.88 
B) $32.54 
C) $34.17 
D) $33.83 
A) $35.88 
B) $32.54 
C) $34.17 
D) $33.83

Question 10

The cost of ending work in process inventory in the first processing department according to the company's cost system is closest to:

Accepted Answer

A) $33,273 
B) $11,769 
C) $78,462 
D) $58,847 
A) $33,273 
B) $11,769 
C) $78,462 
D) $58,847

Question 11

What total amount of cost should be assigned to the units transferred out during November?

Accepted Answer

A) $1,337,300 
B) $1,348,100 
C) $1,369,500 
D) $1,380,300 
A) $1,337,300 
B) $1,348,100 
C) $1,369,500 
D) $1,380,300

Question 12

The total cost transferred from the first processing department to the next processing department during the month is closest to:

Accepted Answer

A) $231,700 
B) $274,893 
C) $205,007 
D) $215,900 
A) $231,700 
B) $274,893 
C) $205,007 
D) $215,900

Question 13

Process costing is used in those situations where many different products or services are produced each period to customer specifications.

Accepted Answer

A) True 
 B)False

Question 14

The total cost transferred from the first processing department to the next processing department during the month is closest to:

Accepted Answer

A) $623,600 
B) $638,122 
C) $614,200 
D) $569,301 
A) $623,600 
B) $638,122 
C) $614,200 
D) $569,301

Question 15

How many units are in ending work in process inventory in the first processing department at the end of the month?

Accepted Answer

A) 900 
B) 1,100 
C) 600 
D) 9,200 
A) 900 
B) 1,100 
C) 600 
D) 9,200

Question 16

The "costs to be accounted for" portion of the cost reconciliation report includes the cost of beginning work in process inventory and the costs added during the period.

Accepted Answer

A) True 
 B)False

Question 17

Larner Corporation uses the weighted-average method in its process costing system. Operating data for the first processing department for the month of June appear below:   According to the company's records, the conversion cost in beginning work in process inventory was $68,064 at the beginning of June. Additional conversion costs of $585,324 were incurred in the department during the month. What was the cost per equivalent unit for conversion costs for the month? (Round off to three decimal places.)

Accepted Answer

A) $6.892 
B) $6.806 
C) $5.575 
D) $7.090 
A) $6.892 
B) $6.806 
C) $5.575 
D) $7.090

Question 18

What are the Fabrication Department's equivalent units related to materials for July?

Accepted Answer

A) 6,160 
B) 6,380 
C) 6,920 
D) 7,240 
A) 6,160 
B) 6,380 
C) 6,920 
D) 7,240

Question 19

Lafollette Inc. uses the weighted-average method in its process costing. The following data concern the company's Assembly Department for the month of November.   Required:
Compute the costs per equivalent unit for the Assembly Department for November.

Accepted Answer

Weighted-a

Question 20

Using process costing, it is necessary to consider the stage of completion of the units when assigning conversion cost to partially completed units in the ending work in process inventory.

Accepted Answer

A) True 
 B)False

What are the equivalent units for conversion costs for the month in the first processing department?

Which of the following companies would be most likely to use a process costing system?

The cost of ending work in process inventory in the first processing department according to the company's cost system is closest to:

The cost of ending work in process inventory in the first processing department according to the company's cost system is closest to:

Which of the following are needed to compute the cost per equivalent unit for materials under the weighted-average method of process costing?

The cost per equivalent unit for conversion costs for the first department for the month is closest to:

The cost of ending work in process inventory in the first processing department according to the company's cost system is closest to:

What total amount of cost should be assigned to the units transferred out during November?

The total cost transferred from the first processing department to the next processing department during the month is closest to:

Process costing is used in those situations where many different products or services are produced each period to customer specifications.

The total cost transferred from the first processing department to the next processing department during the month is closest to:

How many units are in ending work in process inventory in the first processing department at the end of the month?

The "costs to be accounted for" portion of the cost reconciliation report includes the cost of beginning work in process inventory and the costs added during the period.

What are the Fabrication Department's equivalent units related to materials for July?

Lafollette Inc. uses the weighted-average method in its process costing. The following data concern the company's Assembly Department for the month of November. Required: Compute the costs per equivalent unit for the Assembly Department for November.

Using process costing, it is necessary to consider the stage of completion of the units when assigning conversion cost to partially completed units in the ending work in process inventory.

Managerial Accounting and Cost Concepts

Least-Squares Regression Computations

Cost of Quality

Job-Order Costing

Activity-Based Absorption Costing

The Predetermined Overhead Rate and Capacity

Fifo Method

Service Department Allocations

Cost-Volume-Profit Relationships

Variable Costing and Segment Reporting: Tools for Management

Super-Variable Costing

Activity-Based Costing: a Tool to Aid Decision Making

Abc Action Analysis

Filters

Exam 7: Process Costing

What are the equivalent units for conversion costs for the month in the first processing department?

Which of the following companies would be most likely to use a process costing system?

The cost of ending work in process inventory in the first processing department according to the company's cost system is closest to:

The cost of ending work in process inventory in the first processing department according to the company's cost system is closest to:

Which of the following are needed to compute the cost per equivalent unit for materials under the weighted-average method of process costing?

The cost per equivalent unit for conversion costs for the first department for the month is closest to:

The cost of ending work in process inventory in the first processing department according to the company's cost system is closest to:

What total amount of cost should be assigned to the units transferred out during November?

The total cost transferred from the first processing department to the next processing department during the month is closest to:

Process costing is used in those situations where many different products or services are produced each period to customer specifications.

The total cost transferred from the first processing department to the next processing department during the month is closest to:

How many units are in ending work in process inventory in the first processing department at the end of the month?

The "costs to be accounted for" portion of the cost reconciliation report includes the cost of beginning work in process inventory and the costs added during the period.

What are the Fabrication Department's equivalent units related to materials for July?

Lafollette Inc. uses the weighted-average method in its process costing. The following data concern the company's Assembly Department for the month of November. Required: Compute the costs per equivalent unit for the Assembly Department for November.

Using process costing, it is necessary to consider the stage of completion of the units when assigning conversion cost to partially completed units in the ending work in process inventory.

Managerial Accounting and Cost Concepts

Least-Squares Regression Computations

Cost of Quality

Job-Order Costing

Activity-Based Absorption Costing

The Predetermined Overhead Rate and Capacity

Fifo Method

Service Department Allocations

Cost-Volume-Profit Relationships

Variable Costing and Segment Reporting: Tools for Management

Super-Variable Costing

Activity-Based Costing: a Tool to Aid Decision Making

Abc Action Analysis

Filters