{ "key_pair_value_system": true, "answer_rating_count": "", "question_feedback_html": { "html_star": "", "html_star_feedback": "" }, "answer_average_rating_value": "", "answer_date_js": "2024-06-13T23:31:07-04:00", "answer_date": "2024-06-13 23:31:07", "is_docs_available": "", "is_excel_available": "", "is_pdf_available": "", "count_file_available": 0, "main_page": "student_question_view", "question_id": "3005991", "url": "\/study-help\/questions\/1-at-the-end-of-theyear-metro-inc-has-an-3005991", "question_creation_date_js": "2024-06-13T23:31:07-04:00", "question_creation_date": "Jun 13, 2024 11:31 PM", "meta_title": "[Solved] 1) At the end of theyear, Metro, Inc. has | SolutionInn", "meta_description": "Answer of - 1) At the end of theyear, Metro, Inc. has an unadjusted credit balance in the Manufacturing Overhead account of$820. W | SolutionInn", "meta_keywords": "1,end,theyear,metro,inc,unadjusted,credit,balance,manufacturing,overhead,account,$820", "question_title_h1": "1) At the end of theyear, Metro, Inc. has an unadjusted credit balance in the Manufacturing Overhead account of$820. Which of the following is the", "question_title": "1) At the end of theyear, Metro, Inc. has an unadjusted credit", "question_title_for_js_snippet": "1) At the end of theyear, Metro, Inc has an unadjusted credit balance in the Manufacturing Overhead account of$820 Which of the following is the yearend adjusting entry needed to adjust theaccount A A debit to Cost of Goods Sold of$820 and a credit to Manufacturing Overhead of$820 B A debit to Cost of Goods Sold of$820 and a credit to Finished Goods Inventory of$820 C A debit to Manufacturing Overhead of$820 and a credit to Cost of Goods Sold of$820 D A debit to Manufacturing Overhead of$820 and a credit to Finished Goods Inventory of$820 2) Haddows, Inc completed Job GH6 last month The cost details of GH6 are shown below Direct labor cost $2,000 Direct materials cost $ 90 Direct labor hours 5 hours Predetermined overhead allocation rate per direct labor hour $74 Number of units of finished product 32 Calculate the cost per unit of the finished product of Job GH6 (Round your answer to the nearestcent ) A $460 00 B $14 38 C $74 06 D $ 76 88 4) Adelphia Manufacturing issued $80,000 of direct materials and $9,000 of indirect materials for production Which of the following journal entries would correctly record thetransaction A WorkinProcess Inventory 89,000 Raw Materials Inventory 89,000 B Manufacturing Overhead 89,000 Raw Materials Inventory 89,000 C Raw Materials Inventory 89,000 Finished Goods Inventory 80,000 WorkinProcess Inventory 9,000 D WorkinProcess Inventory 80,000 Manufacturing Overhead 9,000 Raw Materials Inventory 89,000 5) South Bay Manufacturing began business on January 1 During its first year ofoperation, South Bay worked on five industrial jobs and reported the following information at yearend Job 1 Job 2 Job 3 Job 4 Job 5 Direct Materials $1,000 $8,500 $4,000$ 3,500 $1,500 Direct Labor $12,000 $20,100 $13,000 $12,000 $800 Allocated Mfg Overhead $1,700 $6,600 $2,500 $ 7,500 $ 200 Jobcompleted Jun 30 Sep 1 Oct 15 Nov 1 Not completed Jobsold Jul 10 Sep 12 Not sold Not sold N A Revenues $39,000 $39,000 N A N A N A SouthBay's allocation of overhead costs left a debit balance of$1,400 in the Manufacturing Overheadaccount, which was adjusted to zero at yearend What was the amount of gross profit earned during theyear A $28,100 B $2,400 C $22,900 D $26,700 6) Island Promotional Services uses a job order system for costing and billing promotional services for dance and ballet performances Island has four public relations specialists and office staff At the beginning of theyear, Island estimated the total cost of salaries and benefits for the public relations specialists at $663,000 and a total of 7,800 billable hours for the year The office and administrative costs were estimated at $390,000 The allocation base for office and administrative costs is billable hours InJune, Island signed a contract for a Russian ballet performance It negotiated a price of $6,000 for its services When the job wascomplete, Island's records showed that it had logged 37 billable hours What was the actual total cost of the job forIsland A $3,145 B $1,295 C $1,850 D $ 4, 995 7) Cost accounting systems are used A by manufacturingcompanies, not service companies B to accumulate and assign period costs to products C to accumulate product cost information D by stockholders for decisionmaking purposes 8) On June1, Westbrook Productions had beginning balances as shown in the T accounts below Raw Materials Inventory 10,000 WorkinProcess Inventory 20,000 Finished Goods Inventory 25,000 Manufacturing Overhead 41,000 DuringJune, the following transactions tookplace June2 Issued $2,700 of direct materials and $200 of indirect materials to production June13 Incurred $7,500 of direct factory labor cost and $14,200 of indirect factory labor cost What was the balance in the Manufacturing Overhead account following thesetransactions A $41,200 B $55,200 C $57,900 D $55,400 9) Jupiter Manufacturing began business on January 1 During its first year ofoperation, Jupiter worked on five industrial jobs and reported the following information at yearend Job 1 Job 2 Job 3 Job 4 Job 5 Direct Materials $1,000 $7,500 $4,000 $3,500 $1,700 Direct Labor 12,000 20,000 13,000 12,000 700 Allocated Mfg Overhead1,500 6,000 2,500 7,500 400 Jobcompleted Jun 30 Sep 1 Oct 15 Nov 1 Not completed Jobsold Jul 10 Sep 12 Not Sold Not Sold N A Revenues$25,000 $39,000 N A N A N A What was the balance in WorkinProcess Inventory at yearend A $2,100 B $2,800 C $2,400 D $1,100 10) The journal entry for adjustment of underallocated manufacturing overhead includes a A debit to WorkinProcess Inventory B credit to Finished Goods Inventory C credit to Manufacturing Overhead D credit to Cost of Goods Sold 11) On January1, Biden,Inc 's Work inProcess Inventory account had a balance of$31,900 During theyear, $58,500 of direct materials was placed into production Manufacturing wages incurred amounted to$85,000, of which$64,500 were for direct labor Manufacturing overhead is allocated on the basis of120 of direct labor cost Actual manufacturing overhead was$90,300 Jobs costing$220,800 were completed during the year What is the December 31 balance of WorkinProcess Inventory A $154,900 B $31,900 C $11,500 D $232,300 12) Archangel Manufacturing calculated a predetermined overhead allocation rate at the beginning of the year based on direct labor costs The production details for the year are givenbelow Total manufacturing overhead costs estimated at the beginning of the year $150,000 Total direct labor costs estimated at the beginning of the year $340,000 Total direct labor hours estimated at the beginning of the year 10,000 direct labor hours Actual manufacturing overhead costs for the year $150,000 Actual direct labor costs for the year $360,000 Actual direct labor hours for the year 11,000 direct labor hours Calculate the manufacturing overhead allocation rate for the year based on the above data (Round your final answer to two decimalplaces ) A 27 27 B 240 00 C 11 33 D 44 12 13) Forsyth, Inc uses estimated direct labor hours of245,000 and estimated manufacturing overhead costs of$1,200,000 in establishing its predetermined overhead allocation rate for the year Actual results showed thefollowing Actual manufacturing overhead $800,000 Allocated manufacturing overhead $825,000 The number of direct labor hours worked during the period was (Round any intermediate calculations to two decimalplaces, and your final answer to the nearest wholenumber ) A 245,000 hours B 163,265 hours C 168,367 hours D 237,575 hours 14) When a manufacturing company uses directmaterials, it assigns the cost by debiting A Direct Materials B Work in Process Inventory C Manufacturing Overhead D Raw Materials Inventory 16) Brink Financial Advisors provides accounting and finance assistance to customers in the retail business Brink has four professionals onstaff, plus an office with six clerical staff Totalcompensation, includingbenefits, for the professional staff runs up to$800,000 peryear, and normal billable hours are about3,300 billable hours per year The professional staff keep detailed time sheets organized by client number The total office and administrative costs for the year are$270,000 Brink allocates office and administrative costs to clientsmonthly, using a predetermined overhead allocation rate based on billable hours DuringJuly, Brink's professionals spent 42 hours on theirclient, Waseca Sales Brink adds a30 markup on its costs to calculate the amount billed to the customer How much gross profit did Brink earn from Waseca Sales inJuly (Round any intermediate calculations to two decimalplaces, and your final answer to the nearest wholenumber ) A $13,618 08 B $3,054 492 C $4,085 D $3,436 18) Which of the following will be debited to the Manufacturing Overhead account of a watchmanufacturer A office telephone costs B salaries paid to accountants C factory electricity costs D cost of printing brochures", "question_description": "

<\/p>

1)At the end of theyear, Metro, Inc. has an unadjusted credit balance in the Manufacturing Overhead account of$820. Which of the following is the yearend adjusting entry needed to adjust theaccount?<\/span><\/p>

<\/p>

A.<\/strong>A debit to Cost of Goods Sold of$820 and a credit to Manufacturing Overhead of$820<\/span><\/p>

B.<\/strong>A debit to Cost of Goods Sold of$820 and a credit to Finished Goods Inventory of$820<\/span><\/p>

C.<\/strong>A debit to Manufacturing Overhead of$820 and a credit to Cost of Goods Sold of$820<\/span><\/p>

D.<\/strong>A debit to Manufacturing Overhead of$820 and a credit to Finished Goods Inventory of$820<\/span><\/p>

<\/p>

2)Haddows, Inc. completed Job GH6 last month. The cost details of GH6 are shown below.<\/span><\/p>

Direct labor cost<\/span> $2,000<\/span><\/p>

Direct materials cost<\/span> $ 90<\/span><\/p>

Direct labor hours<\/span> 5 hours<\/span><\/p>

Predetermined overhead allocation rate per direct labor hour<\/span> $74<\/span><\/p>

Number of units of finished product<\/span> 32<\/span><\/p>

<\/p>

Calculate the cost per unit of the finished product of Job GH6.(Round your answer to the nearestcent.)<\/span><\/p>

<\/p>

A.<\/strong>$460.00<\/span><\/p>

B.<\/strong>$14.38<\/span><\/p>

C.<\/strong>$74.06<\/span><\/p>

D.<\/strong>$ 76.88<\/span><\/p>

<\/p>

4)Adelphia Manufacturing issued<\/span>$80,000of direct materials and<\/span>$9,000of indirect materials for production. Which of the following journal entries would correctly record thetransaction?<\/span><\/p>

<\/p>

A.<\/strong>WorkinProcess Inventory 89,000<\/span><\/p>

Raw Materials Inventory 89,000<\/span><\/p>

<\/p>

B.<\/strong>Manufacturing Overhead 89,000<\/span><\/p>

Raw Materials Inventory 89,000<\/span><\/p>

<\/p>

C.<\/strong>Raw Materials Inventory 89,000<\/span><\/p>

Finished Goods Inventory 80,000<\/span><\/p>

WorkinProcess Inventory 9,000<\/span><\/p>

<\/p>

D.<\/strong>WorkinProcess Inventory 80,000<\/span><\/p>

Manufacturing Overhead 9,000<\/span><\/p>

Raw Materials Inventory 89,000<\/span><\/p>

<\/p>

5)South Bay Manufacturing began business on January 1. During its first year ofoperation, South Bay worked on five industrial jobs and reported the following information at yearend:<\/span><\/p>

<\/p>

Job 1<\/strong> Job 2<\/strong> Job 3<\/strong> Job 4<\/strong> Job 5<\/strong><\/p>

Direct Materials<\/span> $1,000<\/span> $8,500<\/span> $4,000$<\/span> 3,500<\/span> $1,500<\/span><\/p>

Direct Labor<\/span> $12,000<\/span> $20,100<\/span> $13,000<\/span> $12,000<\/span> $800<\/span><\/p>

Allocated Mfg. Overhead<\/span> $1,700<\/span> $6,600<\/span> $2,500<\/span> $7,500<\/span> $200<\/span><\/p>

<\/p>

Jobcompleted:<\/span> Jun 30<\/span> Sep 1<\/span> Oct 15<\/span> Nov 1 Not completed<\/span><\/p>

Jobsold:<\/span> Jul 10<\/span> Sep 12<\/span> Not sold<\/span> Not sold<\/span> N\/A<\/span><\/p>

Revenues:<\/span> $39,000<\/span> $39,000<\/span> N\/A<\/span> N\/A<\/span> N\/A<\/span><\/p>

<\/p>

SouthBay's allocation of overhead costs left a debit balance of$1,400 in the Manufacturing Overheadaccount, which was adjusted to zero at yearend. What was the amount of gross profit earned during theyear?<\/span><\/p>

<\/p>

A.<\/strong>$28,100<\/span><\/p>

B.<\/strong>$2,400<\/span><\/p>

C.<\/strong>$22,900<\/span><\/p>

D.<\/strong>$26,700<\/span><\/p>

<\/p>

6) Island Promotional Services uses a job order system for costing and billing promotional services for dance and ballet performances. Island has four public relations specialists and office staff. At the beginning of theyear, Island estimated the total cost of salaries and benefits for the public relations specialists at<\/span>$663,000and a total of 7,800 billable hours for the year. The office and administrative costs were estimated at<\/span>$390,000. The allocation base for office and administrative costs is billable hours. InJune, Island signed a contract for a Russian ballet performance. It negotiated a price of<\/span>$6,000for its services. When the job wascomplete, Island's records showed that it had logged 37 billable hours. What was the actual total cost of the job forIsland?<\/span><\/p>

<\/p>

A.<\/strong>$3,145<\/span><\/p>

B.<\/strong>$1,295<\/span><\/p>

C.<\/strong>$1,850<\/span><\/p>

D.<\/strong>$ 4, 995<\/span><\/p>

<\/p>

7)Cost accounting systems are used________.<\/span><\/p>

<\/p>

A.<\/strong>by manufacturingcompanies, not service companies<\/span><\/p>

B.<\/strong>to accumulate and assign period costs to products<\/span><\/p>

C.<\/strong>to accumulate product cost information<\/span><\/p>

D<\/strong>. by stockholders for decisionmaking purposes<\/span><\/p>

<\/p>

8) On June1, Westbrook Productions had beginning balances as shown in the T<\/span>accounts below.<\/p>

<\/p>

Raw Materials Inventory<\/span><\/p>

10,000<\/span><\/p>

<\/p>

WorkinProcess Inventory<\/span><\/p>

20,000<\/span><\/p>

<\/p>

Finished Goods Inventory<\/span><\/p>

25,000<\/span><\/p>

<\/p>

Manufacturing Overhead<\/span><\/p>

41,000<\/span><\/p>

<\/p>

DuringJune, the following transactions tookplace:<\/span><\/p>

June2: Issued<\/span>$2,700of direct materials and<\/span>$200of indirect materials to production.<\/span><\/p>

June13: Incurred<\/span>$7,500of direct factory labor cost and<\/span>$14,200of indirect factory labor cost.<\/span><\/p>

What was the balance in the Manufacturing Overhead account following thesetransactions?<\/span><\/p>

<\/p>

A.<\/strong>$41,200<\/span><\/p>

B.<\/strong>$55,200<\/span><\/p>

C.<\/strong>$57,900<\/span><\/p>

D.<\/strong>$55,400<\/span><\/p>

<\/p>

9)Jupiter Manufacturing began business on January 1. During its first year ofoperation, Jupiter worked on five industrial jobs and reported the following information at yearend:<\/span><\/p>

<\/p>

Job 1<\/strong> Job 2<\/strong> Job 3<\/strong> Job 4<\/strong> Job 5<\/strong><\/p>

Direct Materials<\/span> $1,000<\/span> $7,500<\/span> $4,000<\/span> $3,500<\/span> $1,700<\/span><\/p>

Direct Labor<\/span> 12,000<\/span> 20,000<\/span> 13,000<\/span> 12,000<\/span> 700<\/span><\/p>

Allocated Mfg. Overhead1,500<\/span> 6,000<\/span> 2,500<\/span> 7,500<\/span> 400<\/span><\/p>

<\/p>

Jobcompleted:<\/span> Jun 30<\/span> Sep 1<\/span> Oct 15<\/span> Nov 1<\/span> Not completed<\/span><\/p>

Jobsold:<\/span> Jul 10 Sep 12<\/span> Not Sold Not Sold N\/A<\/p>

Revenues$25,000<\/span> $39,000<\/span> N\/A<\/span> N\/A<\/span> N\/A<\/span><\/p>

<\/p>

What was the balance in WorkinProcess Inventory at yearend?<\/span><\/p>

<\/p>

A.<\/strong>$2,100<\/span><\/p>

B.<\/strong>$2,800<\/span><\/p>

C.<\/strong>$2,400<\/span><\/p>

D.<\/strong>$1,100<\/span><\/p>

<\/p>

10)The journal entry for adjustment of underallocated manufacturing overhead includes a________.<\/span><\/p>

<\/p>

A.<\/strong>debit to WorkinProcess Inventory<\/span><\/p>

B.<\/strong>credit to Finished Goods Inventory<\/span><\/p>

C.<\/strong>credit to Manufacturing Overhead<\/span><\/p>

D.<\/strong>credit to Cost of Goods Sold<\/span><\/p>

<\/p>

11) On January1, Biden,Inc.'s Work<\/span>inProcess Inventory account had a balance of$31,900. During theyear, $58,500 of direct materials was placed into production. Manufacturing wages incurred amounted to$85,000, of which$64,500 were for direct labor. Manufacturing overhead is allocated on the basis of120% of direct labor cost. Actual manufacturing overhead was$90,300. Jobs costing$220,800 were completed during the year. What is the December 31 balance of WorkinProcess Inventory?<\/p>

<\/p>

A.<\/strong>$154,900<\/span><\/p>

B.<\/strong>$31,900<\/span><\/p>

C.<\/strong>$11,500<\/span><\/p>

D.<\/strong>$232,300<\/span><\/p>

<\/p>

12)Archangel Manufacturing calculated a predetermined overhead allocation rate at the beginning of the year based on direct labor costs. The production details for the year are givenbelow:<\/span><\/p>

<\/p>

Total manufacturing overhead costs estimated at the beginning of the year $150,000<\/span><\/p>

Total direct labor costs estimated at the beginning of the year $340,000<\/span><\/p>

Total direct labor hours estimated at the beginning of the year 10,000 direct labor hours<\/span><\/p>

Actual manufacturing overhead costs for the year $150,000<\/span><\/p>

Actual direct labor costs for the year $360,000<\/span><\/p>

Actual direct labor hours for the year 11,000 direct labor hours<\/span><\/p>

<\/p>

Calculate the manufacturing overhead allocation rate for the year based on the above data.(Round your final answer to two decimalplaces.)<\/span><\/p>

<\/p>

A.<\/strong>27.27%<\/span><\/p>

B.<\/strong>240.00%<\/span><\/p>

C.<\/strong>11.33%<\/span><\/p>

D.<\/strong>44.12%<\/span><\/p>

<\/p>

13) Forsyth, Inc. uses estimated direct labor hours of245,000 and estimated manufacturing overhead costs of$1,200,000 in establishing its predetermined overhead allocation rate for the year. Actual results showed thefollowing:<\/span><\/p>

<\/p>

Actual manufacturing overhead $800,000<\/span><\/p>

Allocated manufacturing overhead $825,000<\/span><\/p>

<\/p>

The number of direct labor hours worked during the period was________. (Round any intermediate calculations to two decimalplaces, and your final answer to the nearest wholenumber.)<\/span><\/p>

<\/p>

A.<\/strong>245,000 hours<\/span><\/p>

B.<\/strong>163,265 hours<\/span><\/p>

C.<\/strong>168,367 hours<\/span><\/p>

D.<\/strong>237,575 hours<\/span><\/p>

<\/p>

14)When a manufacturing company<\/span>uses<\/em>directmaterials, it<\/span>assigns<\/em>the cost by debiting<\/span><\/p>

<\/p>

A.<\/strong>Direct Materials.<\/span><\/p>

B.<\/strong>Work-in-Process Inventory.<\/span><\/p>

C.<\/strong>Manufacturing Overhead.<\/span><\/p>

D.<\/strong>Raw Materials Inventory.<\/span><\/p>

<\/p>

16) Brink Financial Advisors provides accounting and finance assistance to customers in the retail business. Brink has four professionals onstaff, plus an office with six clerical staff. Totalcompensation, includingbenefits, for the professional staff runs up to$800,000 peryear, and normal billable hours are about3,300 billable hours per year. The professional staff keep detailed time sheets organized by client number. The total office and administrative costs for the year are$270,000.<\/span><\/p>

<\/p>

Brink allocates office and administrative costs to clientsmonthly, using a predetermined overhead allocation rate based on billable hours. DuringJuly, Brink's professionals spent 42 hours on theirclient, Waseca Sales. Brink adds a30% markup on its costs to calculate the amount billed to the customer. How much gross profit did Brink earn from Waseca Sales inJuly? (Round any intermediate calculations to two decimalplaces, and your final answer to the nearest wholenumber.)<\/span><\/p>

<\/p>

A.<\/strong>$13,618.08<\/span><\/p>

B.<\/strong>$3,054.492<\/span><\/p>

C.<\/strong>$4,085<\/span><\/p>

D.<\/strong>$3,436<\/span><\/p>

<\/p>

18) Which of the following will be debited to the Manufacturing Overhead account of a watchmanufacturer?<\/span><\/p>

<\/p>

A.<\/strong>office telephone costs<\/span><\/p>

B.<\/strong>salaries paid to accountants<\/span><\/p>

C.<\/strong>factory electricity costs<\/span><\/p>

D.<\/strong>cost of printing brochures<\/span><\/p>", "transcribed_text": "", "related_book": { "title": "Financial accounting", "isbn": "9781119153726, 978-1118285909", "edition": "IFRS Edition", "authors": "Jerry J. Weygandt, Donald E. Kieso, Paul D. Kimmel", "cover_image": "https:\/\/dsd5zvtm8ll6.cloudfront.net\/si.question.images\/book_images\/245.jpg", "uri": "\/textbooks\/financial-accounting-ifrs-edition-245", "see_more_uri": "" }, "free_related_book": { "isbn": "3540897836", "uri": "\/textbooks\/advances-in-web-semantics-i-ontologies-web-services-and-applied-semantic-web-1st-edition-978-3540897835-203400", "name": "Advances In Web Semantics I Ontologies Web Services And Applied Semantic Web", "edition": "1st Edition" }, "question_posted": "2024-06-13 23:31:07", "see_more_questions_link": "\/study-help\/questions\/business-marketing-2022-June-08", "step_by_step_answer": "The Answer is in the image, click to view ...", "students_also_viewed": [ { "url": "\/presidio-manufacturing-is-preparing-its-master-budget-for-the-first", "description": "Presidio Manufacturing is preparing its master budget for the first quarter of the upcoming year. 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