WGU D101 COST AND MANAGERIAL ACCOUNTING ACTUAL QUESTIONS AND ANSWERS 2024 WITH COMPLETE SOLUTION

WGU D101 COST AND MANAGERIAL ACCOUNTING ACTUAL QUESTIONS AND ANSWERS 2024 WITH COMPLETE SOLUTION When a movie producer receives a contract to produce movies following the specifications of the customer. Answer- When would it be appropriate to use job order costing? When an oil producer produces a large volume of regular unleaded gasoline for a gas station chain of stores. When a company provides warranty services to a group of customers using a uniform set of processes and services for each customer. When a clothing manufacturer produces a line of clothes having the same production cost for each clothing line. When a movie producer receives a contract to produce movies following the specifications of the customer. Forecasted overhead costs and forecasted activity level. Answer- Which figures are used in computing a predetermined overhead rate? Forecasted overhead costs and actual activity level. Actual overhead costs and forecasted activity level. Actual overhead costs and actual activity level. Forecasted overhead costs and forecasted activity level. $40 per direct labor hour. Answer- A company uses direct labor hours to apply manufacturing overhead. Budgeted manufacturing overhead for the coming year is $640,000. Budgeted direct materials purchases are $400,000. Budgeted direct labor cost is $720,000. Budgeted direct labor hours for the coming year are 16,000 hours. Actual manufacturing overhead for the year was $600,000. Actual direct materials purchases were $380,000. Actual direct labor cost was $700,000. Actual direct labor hours for the year were 20,000 hours. What is this company's predetermined overhead rate? $30 per direct labor hour. $36 per direct labor hour. $40 per direct labor hour. $61 per direct labor hour Debit to manufacturing overhead for $16,000. Answer- A company's actual manufacturing overhead was $156,000, and applied manufacturing overhead was $172,000. What should be included in the journal entry necessary to close the manufacturing overhead account? Debit to manufacturing overhead for $16,000. Debit to cost of goods sold for $16,000. Debit to cost of goods sold for $156,000. Debit to manufacturing overhead for $156,000. Credit to cash for $3,000. Answer- A manufacturing company used cash to purchase raw materials costing $3,000. What should be included in the journal entry necessary to record this purchase of raw materials? Credit to accounts payable for $3,000. Credit to cash for $3,000. Credit to work-in-process inventory for $3,000. Credit to raw materials inventory for $3,000. Debit to work-in-process inventory for $12,500. Answer- A company that manufactures wood furniture paid $12,500 in cash for the wages of woodworkers who create the wood furniture in the factory. What should be included in the journal entry necessary to record this payment of wages to the woodworkers? Credit to manufacturing overhead for $12,500. Debit to work-in-process inventory for $12,500. Debit to manufacturing overhead for $12,500. Credit to work-in-process inventory for $12,500. Debit to manufacturing overhead for $16,000. Answer- A company recorded depreciation of $16,000 on factory equipment. What should be included in the journal entry necessary to record this depreciation on factory equipment? Credit to work-in-process inventory for $16,000. Debit to work-in-process inventory for $16,000. Credit to manufacturing overhead for $16,000. Debit to manufacturing overhead for $16,000. $775,000 Answer- Data for an art supplies company for the year are as follows: Finished goods inventory, beginning balance $300,000 Work-in-process inventory, ending balance 215,000 Underapplied manufacturing overhead 40,000 Finished goods inventory, ending balance 250,000 Work-in-process inventory, beginning balance 200,000 Cost of goods manufactured 685,000 What is the company's computed adjusted cost of goods sold? $630,000 $710,000 $715,000 $775,000 They are costs put into production during the period. Answer- What is true about debits in the work-in-process T-account during the period? They are costs put into production during the period. They are costs of goods manufactured during the period. They are direct labor costs incurred only during the period. They are direct material costs incurred only during the period. The cost of materials placed into production. Answer- Which cost item does the cost of goods manufactured schedule begin with? The costs related to manufacturing overhead incurred during the period. The cost of materials purchased during the period. The cost of direct labor incurred during the period. The cost of materials placed into production. $415,000 Answer- Data for an auto company for the year are as follows: Total manufacturing costs $400,000 Finished goods inventory, beginning balance 240,000 Work-in-process inventory, ending balance 100,000 Overapplied manufacturing overhead 30,000 Finished goods inventory, ending balance 200,000 Work-in-process inventory, beginning balance 115,000 What is the auto company's computed cost of goods manufactured? $445,000 $415,000 $385,000 $355,000 The units produced in the process centers must be the same. Answer- For process costing to be appropriate, two general conditions must exist. What is one of those conditions? The activities produced in each process center must be different. The units produced in the process centers must be the same. The activities produced in each process center must be different for each unit produced. The units produced in the process centers must be different. 8,930 Answer- Data for a marketing company for the year are as follows: Physical Units Percent Completed Beginning work in process 700 70% Started and completed 8,000 100% Ending work in process 900 80% What is the marketing company's computed equivalent units of production for the period? 8,000 8,210 8,720 8,930 7,450 Answer- Data for a phone company are as follows: Physical Units Percent Completed Beginning work in process 0 0% Started and completed 7,000 100% Ending work in process 1,000 45% What is the company's computed equivalent units of production for the period? 7,450 7,550 6,000 8,000 ..........................................................................