1) The Milo Company's records for May contained the following information:

Actual direct labour-hours 9,000 hours

Actual direct labour cost $47,000

Direct material purchased 16,000

Direct material used 14,000

Cost of goods sold 100,000

Overapplied overhead 5,000

Ending inventories:

Raw materials 30,000

Work in process 50,000

Finished goods 70,000

The company uses a predetermined overhead rate of $5.00 per direct labour hour to apply manufacturing overhead to jobs.

The actual overhead cost incurred during the month was

A) $40,000.

B) $45,000.

C) $50,000.

D) $55,000.

2) The total cost added to Work in Process during May was:

A) $61,000.

B) $101,000.

C) $106,000.

D) $111,000

3) The Cost of Goods Manufactured during the month was:

A) $636,000.

B) $716,000.

C) $736,000.

D) $766,000

4) The Cost of Goods Sold for the month (before disposition of any overhead underapplied or overapplied) was:

A) $691,000.

B) $716,000.

C) $736,000.

D) $801,000.

5) The Bus Company uses a job-order costing system. The following information was recorded for September:

Added During September

Job Number September 1 Inventory Direct Materials Direct Labour

1 $1,000 $300 $200

2 1,400 250 300

3 500 1,500 150

4 750 4,000 400

The direct labour wage rate is $10 per hour. Overhead is applied at the rate of $5 per direct labour-hour. Jobs 1, 2, and 3 have been completed and transferred to finished goods. Job 2 has been delivered to the customer.

The ending Work in Process inventory is:

A) $4,325.

B) $5,150.

C) $5,350.

D) $7,575.

6) The Cost of Goods Manufactured for September is:

A) $5,925.

B) $7,625.

C) $10,750.

D) $11,275.

7) The Cost of Goods Sold for September (before disposition of any underapplied or overapplied overhead) is? A) $1,950.

B) $2,100.

C) $3,700.

D) $5,925.

8) Summit Company has provided the following inventory balances and manufacturing cost data for the month of January:

Inventories: January 1 January 31

Direct materials $30,000 $40,000

Work in process $15,000 $20,000

Finished goods $65,000 $50,000

Month of January

Cost of goods manufactured $515,000

Manufacturing overhead applied $150,000

Direct materials used $190,000

Actual manufacturing overhead $144,000

Under Summit's job-order costing system, any overapplied or underapplied overhead is closed to the Cost of Goods Sold account at the end of the calendar year (i.e., December 31).

What was the total amount of direct material purchases during January?

A) $180,000.

B) $190,000.

C) $195,000.

D) $200,000.

9) How much direct labour cost was incurred during January

A) $170,000.

B) $175,000.

C) $180,000.

D) $186,000.

10) Hussain Shop uses a job-order costing system. Overhead is applied to jobs based on direct labour hours. The source document that would give the number of direct labour hours worked on Job 256 is the:

A) material requisition form.

B) labour time sheet.

C) machine hours usage ticket.

D) Job-order cost sheet.

11) If there was no beginning work in process inventory, and the ending work in process inventory is 50% complete with respect to conversion costs, the number of equivalent units of production with respect to conversion costs under the weighted-average method would be?

A) The same as the units completed.

B) The same as the units started during the period.

C) Less than the units completed.

D) Less than the units started during the period.

12) Process costing would be appropriate for each of the following except

A) Custom furniture.

B) Oil refining.

C) Grain milling.

D) Newsprint production.

13) The following data were taken from the accounting records of the Hazel Corporation which uses the weighted-average method in its process costing system:

Beginning work in process inventory

(100% complete as to materials; 70% complete as to conversion) 30,000 units

Started in process during the period 90,000 units

Ending work in process inventory

(100% complete as to materials; 60% complete as to conversion) 20,000 units

The equivalent units of production for conversion costs were?

A) 100,000.

B) 102,000.

C) 111,000.

D) 112,000.

14) The equivalent units of production for materials costs were?

A) 90,000.

B) 100,000.

C) 112,000.

D) 120,000.

15) The equivalent units of production for materials costs were?

A) 90,000.

B) 100,000.

C) 112,000.

D) 120,000.

16) Adam Company uses the weighted-average method in its process costing system. The following information for the Assembly Department was obtained from the accounting records for September (all materials are added at the beginning of the process):

Number of Units Labour and Overhead (Percentage Complete)

Work in process inventory, Sept. 1 60,000 15%

Transferred in during the month 105,000

Work in process inventory, Sept. 30 40,000 20%

Transferred In Materials Labour & Overhead

Beginning work in process inventory $60,000 $30,000 $16,000

Cost added during the month $115,500 $63,000 $320,000

The "Cost to be accounted for" section of the production report for the month will show a total amount equal to A) $106,000.

B) $429,000.

C) $498,500.

D) $604,500.

17) The equivalent units of production for material for the month are?

A) 105,000 units.

B) 122,000 units.

C) 145,000 units.

D) 165,000 units.

18) The activity in Nolan Company's Blending Department for the month of April is given below:

Number of Units Labour and Overhead (Percentage Complete)

Work in process inventory, April 1 8,000 50%

Started into process during the month 50,000

Work in process inventory, April 30 10,000 70%

All materials are added at the beginning of processing in the Blending Department.

The equivalent units of production for material for the month, using the weighted-average method, are

A) 48,000 units.

B) 50,000 units.

C) 52,000 units.

D) 58,000 units.

19) The equivalent units of production for labour and overhead for the month, using the weighted-average method, are?

A) 47,000 units.

B) 50,000 units.

C) 51,000 units.

D) 55,000 units.

20) Kimbeth Manufacturing makes Dust Density Sensors (DDS), a safety device for the mining industry. The company uses a process costing system and has only a single processing department. The following information pertains to operations for the month of May:

Units

Beginning work in process inventory 16,000

Started into production during May 100,000

Completed during May 92,000

Ending work in process inventory 24,000

The beginning work in process inventory was 60% complete with respect to materials and 20% complete with respect to conversion costs. The ending work in process inventory was 90% complete with respect to materials and 40% complete with respect to conversion costs. The costs were as follows:

Conversion Materials

Beginning work in process inventory $54,560 $35,560

Costs incurred during May $468,000 $574,040

Using the weighted-average method, the cost per equivalent unit of conversion cost for May is? (Round your answers to the nearest whole cent)

A) $5.14.

B) $5.68.

C) $6.00.

D) $6.41.