Question
I HAVE ALREADY ANSWERED THESE 19 QUESTIONS (MY ANSWERS ARE JUST BELOW EACH QUESTION). I JUST NEED SOMEONE TO HELP CONFIRM IF THERE ARE ANY
I HAVE ALREADY ANSWERED THESE 19 QUESTIONS (MY ANSWERS ARE JUST BELOW EACH QUESTION).
I JUST NEED SOMEONE TO HELP CONFIRM IF THERE ARE ANY WRONG.
THANK YOU :)
1: There are two basic types of cost accounting systems: job order costing and custom order costing.
False
2. A job order costing system would be appropriate for a manufacturer of automobile tires.
False
3: A job order costing system is used to determine the cost of producing each job or job lot.
True
4: A company that uses job order costing purchases $100,000 in raw materials for cash. The journal entry to record this transaction consists of a debit to Cash for $100,000 and a credit to Work in Process Inventory for $100,000.
False
5: A materials time sheet is used to record materials received in a materials ledger card.
False
6: Materials ledger cards are perpetual records that are updated each time materials are purchased and each time materials are issued for use in production.
True
7: The journal entry to record indirect materials used consists of a debit to Finished Goods Inventory and a credit to Raw Materials Inventory.
False
8: When direct labor costs are recorded, the journal entry consists of a debit to Factory Wages Payable and a credit to Work in Process Inventory.
False
9: The predetermined overhead rate is used to apply estimated overhead cost to jobs.
True
10: AEI company estimates the following manufacturing costs at the beginning of the period: direct labor, $117,000; direct materials, $97,500; and factory overhead, $29,250. The companys predetermined overhead rate as a percent of direct labor is 25%.
True
11: Actual factory overhead incurred in a job costing system is debited to a Factory Overhead general ledger account and credited to various other accounts.
True
12: Direct materials and direct labor costs are debited to the Factory Overhead account in a job costing system.
False
13: The Factory Overhead account will have a debit balance at the end of a period if overhead applied during the period is greater than the overhead incurred.
False
14: A companys Factory Overhead account shows total debits of $1,248,000 and total credits of $1,292,000 at the end of the year. Underapplied overhead equals $44,000.
False
15: Which of the following is not a feature of job order production?
High production volume.
16: Omega Construction manufactures homes to customer specifications. It most likely uses:
Job order costing.
17: Job A3B was ordered by a customer on September 25. During the month of September, Jaycee Corporation used $2,500 of direct materials and used $4,000 of direct labor. The job was not finished in September. An additional $3,000 of direct materials and $6,500 of direct labor were needed to finish the job in October. The company applies overhead at the end of each month at a rate of 200% of the direct labor cost incurred. What is the balance in the Work in Process account at the end of September relative to Job A3B?
$14,500
18: Dallas Company uses a job order costing system. The company's executives estimated that direct labor would be $2,310,000 (210,000 hours at $11/hour) and that factory overhead would be $1,510,000 for the current period. At the end of the period, the records show that there had been 190,000 hours of direct labor and $1,210,000 of actual overhead costs. Using direct labor hours as a base, what was the predetermined overhead rate?
$7.19/hour direct labor
19: Copy Center pays an average wage of $12 per hour to employees for printing and copying jobs and allocates $18 of overhead for each employee hour worked. Direct materials are assigned to each job according to actual cost. Jobs are marked up 20% above total manufacturing cost to determine the selling price. If Job M-47 used $310 of direct materials and took 20 direct hours of labor to complete, what is the selling price of the job?
$1,092
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