11. In a toy company, the Assembly Department started 40,000 units and completed 25,000 units. If beginning work in process was 10,000 units, how many units are in ending work in process? (Points : 2)

0. 15,000. 25,000. 30,000.

Question 12.12. A department production process shows: Units Beginning Work in Process 20,000 Ending Work in Process 60,000 Total units to be accounted for 120,000 How many units were started into production in Department 1? (Points : 2)

80,000 100,000 160,000 200,000

Question 13.13. A product requires processing in two departments, the Mixing Department and then the Baking Department, before it is completed. Where will Costs transferred out of the Mixing Department be transferred to? (Points : 2)

Work in Process-Baking Department Cost of Goods Sold-Baking Department Finished Goods Inventory Manufacturing Overhead

Question 14.14. How are Equivalent units calculated? (Points : 2)

by multiplying the percentage of work done by the physical units by dividing physical units by the percentage of work done by multiplying the percentage of work done by the equivalent units of output by dividing equivalent units by the percentage of work done

Question 15.15. Which of the following is considered a difference between a job order cost and a process cost system? (Points : 2)

The manufacturing cost elements The flow of costs The accumulation of the costs of materials, labor, and overhead Documents used to track costs

Question 16.16. Cost of goods manufactured equals $55,000 for 2014. Finished goods inventory is $3,500 at the beginning of the year and $4,000 at the end of the year. Beginning and ending work in process for 2014 are $5,000 and $4,000, respectively. How much is cost of goods sold for the year? (Points : 2)

$51,500 $52,500 $53,500 $54,500

Question 17.17. What is a characteristic of products that are mass-produced in a continuous fashion? (Points : 2)

The products are identical or very similar in nature. They are grouped in batches. They are produced at the time an order is received. Their costs are accumulated on job cost sheets.

Question 18.18. What should the labor costs that have been identified as indirect labor be charged to? (Points : 2)

manufacturing overhead direct labor the individual jobs worked on salaries and wages expense

Question 19.19. A company expected its annual overhead costs to be $2,750,000 and direct labor costs to be $2,500,000. Actual overhead was $1,890,000, and actual labor costs totaled $1,160,000. How much is the company's predetermined overhead rate to the nearest cent? (Points : 2)

$1.05 $1.10 $1.18 $1.22

Question 20.20. When a job is completed and all costs have been accumulated on a job cost sheet, what is the the journal entry that should be made? (Points : 2)

Debit	Credit
Finished goods inventory
Direct Materials	manufacturing overhead

Debit	Credit
Work in process inventory
Direct Materials	manufacturing overhead

Debit	Credit
Raw materials inventory
	Work in process inventory

Debit	Credit
Finished goods inventory
	Work in process Inventory

Question 21.21. A company assigned overhead to work in process. At year end, what does the amount of overapplied overhead mean? (Points : 2)

The overhead assigned to work in process is greater than the estimated overhead costs. The overhead assigned to work in process is less than the estimated overhead costs. The overhead assigned to work in process is less than the actual overhead. The overhead assigned to work in process is greater than the overhead incurred.

Question 22.22. Why are many United States firms switching to Just-In-Time (JIT) processing? (Points : 2)

because they desire a "push" approach to manufacturing because it eliminates conversion costs because it can reduce the funds invested in inventories because it is a means of building up inventories

Question 23.23. A comtainer company thinks machine hours is the best activity base for its manufacturing overhead. The estimate of annual overhead costs for its jobs was $1,750,000. The company used 1,500 hours of processing on Job No. B12 during the period and incurred overhead costs totaling $1,500,000. The budgeted machine hours for the year totaled 50,000. How much overhead should be applied to Job No. B12? (Points : 2)

$979 $1,000 $52,500 $57,600

Question 24.24. What is an important assumption in using activity-based costing (ABC)? (Points : 2)

production must take place on a continuous basis. all costs in an activity should respond proportionately to changes in the activity level of the cost driver. production must take place on a just-in-time basis. all costs are pushed through each process when customer orders are received, and the company does not keep inventory on hand.

Question 25.25. A materials requisition slip showed that direct materials requested were $65,000 and indirect materials requested were $8,000. What would the entry be to record the transfer of materials from the storeroom? (Points : 2)

Work In Process Inventory 65,000 Raw Materials Inventory 65,000 Direct Materials 65,000 Indirect Materials 8,000 Work in Process Inventory 73,000 Manufacturing Overhead 73,000 Raw Materials Inventory 73,000 Work In Process Inventory 65,000 Manufacturing Overhead 8,000 Raw Materials Inventory 73,000