Brooks Final Exam With The Most Appropriate, Correct Answers

Which of the following is not typical of traditional costing systems? - collect answer-Use of multiple cost drivers to allocate overhead. Value-added activities - collect answer-all of the above. Which of the following is a batch-level activity? - collect answer-Purchase ordering The use of activity-based costing in service industries - collect answer-all of these. An "Ordering and Receiving Materials" cost pool would most likely have as a cost driver: - collect answer-number of purchase orders. Which of the following is a unit-level activity? - collect answer-Painting If actual overhead is less than applied manufacturing overhead, then manufacturing overhead is: - collect answer-overapplied. If the entry to assign factory labor showed only a debit to Work In Process Inventory, then all labor costs were - collect answer-direct labor. An important feature of a job order cost system is that each job - collect answer-has its own distinguishing characteristics. The predetermined overhead rate is based on the relationship between - collect answer-estimated annual costs and expected annual activity. Process costing is not used when - collect answer-jobs have distinguishing characteristics. The Raw Materials Inventory account is - collect answer-debited for invoice costs and freight costs chargeable to the purchaser. In the month of June, a department had 20,000 units in beginning work in process that were 70% complete. During June, 80,000 units were transfered into production from another department. At the end of June there were 10,000 units in ending work in process that were 40% complete. Materials are added at the beginning of the process, while conversion costs are incurred uniformly throughout the process. How many units were transferred out of the process in June? - collect answer-90,000 units Materials costs of $800,000 and conversion costs of $1,020,000 were charged to a processing department in the month of September. Materials are added at the beginning of the process, while conversion costs are incurred uniformly throughout the process. There were no units in beginning work in process, 20,000 units were started into production in September, and there were 5,000 units in ending work in process that were 40% complete at the end of September. What was the total amount of manufacturing costs assigned to those units that were completed and transferred out of the process in September? - collect answer-$1,500,000. Holton Company has the following equivalent units for July: materials 20,000 and conversion 18,000. Production cost data are: - collect answer-D A process with no beginning work in process, completed and transferred out 95,000 units during a period and had 50,000 units in the ending work in process inventory that were 30% complete. The equivalent units of production for the period were: - collect answer-110,000 equivalent units. Using $2,540,000 as the cost of goods manufactured, compute the cost of goods sold using the following information. - collect answer-$2,548,000. Using $2,500,000 as the total manufacturing costs, compute the cost of goods manufactured using the following information. - collect answer-$2,506,000. Assuming that the total manufacturing costs are $2,900,000, compute the cost of goods manufactured using the information below. - collect answer-$2,909,000. Kushman Combines, Inc. has $20,000 of ending finished goods inventory as of December 31, 2013. If beginning finished goods inventory was $10,000 and cost of goods sold was $50,000, how much would Kushman report for cost of goods manufactured? - collect answer-$60,000 The Manufacturing Overhead account shows debits of $30,000, $24,000, and $28,000 and one credit for $86,000. Based on this information, manufacturing overhead - collect answer-has been overapplied During 2013, Tanner Manufacturing expected Job No. 26 to cost $300,000 of overhead, $500,000 of materials, and $200,000 in labor. Tanner applied overhead based on direct labor cost. Actual production required an overhead cost of $280,000, $550,000 in materials used, and $210,000 in labor. All of the goods were completed. What amount was transferred to Finished Goods? - collect answer-$1,075,000 Redman Company manufactures customized desks. The following pertains to Job No. 978: What is the total manufacturing cost for Job No. 978? - collect answer-$23,450 For Wilton Company, the predetermined overhead rate is 70% of direct labor cost. During the month, $360,000 of factory labor costs are incurred of which $100,000 is indirect labor. Actual overhead incurred was $180,000. The amount of overhead debited to Work in Process Inventory should be: - collect answer-$182,000 Equivalent units are calculated by - collect answer-multiplying the percentage of work done by the physical units. When manufacturing overhead costs are assigned to production in a process cost system, they are debited to - collect answer-a Work in Process account.