1) The journal entry to record depreciation on production equipment would include a:

A. Debit to Accumulated Depreciation - Equipment B. Credit to Work-in-Process Inventory C. Debit to Manufacturing Overhead D. Credit to Cash

2) Overapplied manufacturing overhead exists when:

A. There is a debit balance in the manufacturing overhead account at the end of the period B. Actual manufacturing overhead is less than applied manufacturing overhead C. The products manufactured during a period are undercosted D. Applied overhead is larger that direct labor

3) The journal entry to record the completion and transfer of the cost of goods manufactured includes a:

A. Debit to Cost of Goods Sold B. Debit to Manufacturing Overhead C. Credit to Finished Goods Inventory D. Credit to Work-in-Process Inventory

4)The entry to close out a small amount of over applied manufacturing overhead would:

A. Decrease the cost of goods manufactured B. Decrease finished goods inventory C. Increase cost of goods sold D. Increase net income

5) The direct materials price variance is calculated as:

A. (Standard Price - Actual Price) x Standard Quantity Allowed B. (Actual Price - Standard Price) x Actual Quantity Purchased C. (Standard Quantity Allowed - Actual Quantity Purchased) x Actual Price D. (Actual Quantity Purchased - Standard Quantity Allowed) x Standard Price