MC Qu. 157 Portside Watercraft uses a job order. Portside Watercraft uses a job order costing system. During one month Portside purchased $173,000 of raw materials on credit; issued materials to production of $164,000 of which $24,000 were indirect. Portside incurred a factory payroll of S 95.000 of which $25,000 was indirect labor. Ports de uses a predetermined overhead rate of 1 %,of direct labor cost The ournal entry to record the allocation of actory ages production is. Mutiple Choice Debit Work in Process Inventory $70,000; debit Factory Overhead S25,000; credin Foctory Wages Payable $95,000. Debit Work in Process Inventory $95,000; credit Factory Wages Payable $95,000 Debit Factory Wages Poyable $95,000 credit Cosh $95,000. Debit Work in Process Inventory $70,000; debit Foctory Overheod $25,000; crednt Cosh $95,000. Debit Work in Process Inventory S95,000; credit Cash $95,000. MC Qu. 91 Which of the following is true? Which of the following is true? Multiple Choice The departmental overhead rate is mast accurate in assigning overhead costs that are not driven by production volume When cost analysts are able to logically trace cost objects to costs, costing accuracy is improved Overheed costs are often affected by many issues and are frequently too complex to be explained by any one factor Allocated overhead costs will be the same no matter which allocation method is used The departmental overhead rate is not usually based on measures closely related to production volume. MC Qu. 93 Which of the following is not true? Which of the following is not true? Multiple Choice The departmental overhead rate method does not 0ssign overhead on the bosis of volume-related mesures. The departmental overhead rate method is more refined than the plantwlde overheed rate method. The departmental overhead rate method is more costly to implement than the plantwide overhead rate method The departmental overhead method assigns overhead on the basis of volume-related measures. Overheed costing accuracy is improved by the use of multiple departmental rates rather thn a single overhead rate