Multiple Chelce dot and selling 2 Which one of the following indirect labor considered? Period cost Raw material cost a. d. 3, Managerial accounting information is generally prepared for a. stockholders b. managers C. regulatory agencies. d. investors Into which one of the following accounts would the work of factory employees that can be physically and dire a. Direct labor b. Indirect labor C. Manufacturing overhead d Indirect materials Zirk, Inc. incurred cost of goods manufactured totaling $900,000, manufacturing overhead of $120,000, a materials totaling $400,000. How much is the amount of direct labor? a. Cannot be determined from the information provided. b. $380,000 C. $520,000 d. $900,000 Which one of the following is the correct calculation of cost of goods sold for a manufacturing company a. Beginning FG inventory-cost of goods manufactured ending FG inventory b. Ending FG inventory -cost of goods manufactured + beginning FG inventory c. Beginning FG inventory cost of goods purchased - ending FG inventory d. Beginning FG inventory+cost of goods manufactured - ending FG inventory f you want to know the amounts a company used to calculate, 'Cost of goods manufactured,' whers On the income statement On the balance sheet On both the balance sheet and income statement Only in the managerial accounting records y is factory overhead 'applied to products and jobs by manufacturing companies? Total actual overhead costs can never be accurately determined for production. Because indirect costs are easy to trace to products and jobs. It allows managers more timely determination of product costs during the manufacturing It provides a more accurate cost of the job or products being processed. to find overhead applied in the monthly financial statoments? d Aability 12 Which one of the following would most likely use a process cost system? y that makes F ng invitations makes motion pictures d. A body shop which does collision repairs Which of the following would be accounted for using a job order cost system? a. The pasteurization of b. The production of town homes c. The production of textbooks d. The production of cans of spinach milk 14. What is the primary role of a job cost sheet? It lists the materials on hand available to be used for jobs b. It is the primary accounting record used in assigning costs to jobs. a c It is used instead of a cost of goods manufactured schedule. d It shows the detail of the Manufacturing Overhead Control account. 15. At the end of each month, a company must total up the costs shown on the job cost sheets. What amount equal? a The total of the work in process inventory account in the general ledger b. The total of the Job Cost expense account in the general ledger c. The cost of all job costs incurred during the year d. The total cost of manufacturing overhead applied during the year Chin Company incurred direct materials costs of $300,000 during the year. Manufacturing overh $280,000 and is applied based on direct labor costs. The predetermined overhead rate is 70%. Ho Company's total manufacturing costs for the year? a. $776,000 b. $700,000 c. $580,000 d. $980,000 Several debits are made to Work in Process Inventory during the year. Which one of the follo account that would be credited to accompany one of the debits? . Manufacturing Overhead Factory Labor Raw Materials Inventory Finished Goods Inventory Which one ot the folowing is part of the year evd d. A eredit to 19. The Cutting Departments output during the peried consists of 12.000 units completed and transterred out, and 3,000 complete as to materials and conversion costs units were started during b 16,500 d. 12,000 20. A product requires processing in two departments, Department 22 and then Department 23, before it is completed What happens to costs transterred out of Department 227 a. They are debited to Finished Goods Inventory b. They are transferred to Cost of Goods Sold The are debited to Work in d. They are credited to Manufacturing Overhead 21. Macor Manufacturing assigns overhead based on machine hours. Department R logs 600 machine hours and Department W shows 800 machine hours for the period. The overhead rate is $7 per machine hour. What will thhe entry to assign overhead include? a. A debit to Manufacturing Overhead for $9,800 Acredit to Work in Process-Department R for $4,200 A debit to Work in Process-Department W for $5,600 A credit to Manufacturing Overhead for $1,400 b. c. d. 22. 2.000 units are in a process that is 70% complete for conversion costs. To what are these units referred? a. 1.400 equivalent units of production b. 600 process units C. 2,000 completed units d. 1,400 physical units of production Use the following information for questions 23-24. department adds raw materials to a process at the beginning of the process and incurs conversion costs uniformly roughout the process. For the month of January, there were no units in the beginning work in process inventory; 10,000 nits were started into production in January, and there were 4,000 units that were 40% complete in the ending work in ocess inventory at the end of January. The weighted average method is used. What were the equivalent units of production for materials for the month of January? a 7,600 equivalent units b. c. d. 14,000 equivalent units 10,000 equivalent units 4,000 equivalent units What were the equivalent units of production for conversion costs for the month of January? a. 7,600 equivalent units b. 14,000 equivalent units c. 10,000 equivalent units d. 11,600 equivalent units of ABC Company's activity cost pools is machine setups, with estimated overhead of $150,000. ABC sparklers (400 setups) and lighters (600 setups). How much of the machine setup cost pool should be as sparklers? a. $150,000 b. $60,000 $75,000 $90,000. and MaPo' head costs consist of setting up machines, Company manufatres two products. Mini information on Ovehead agplied to Mini A using traditional cossing using direct labor hours is b $1.536.000 d $1,920,000 2? .erhead a pled to Men. A using activity-based costing is a $1.200,000 b $1.538,000 d $1,920,000 28 Which of the following is a limitation of activity-based costing? cost pools b Less control over overhead costs e. Poorer management decisions d Some arbitrary allocations continue 29 Which of the following is a nonvalue-added activity? a Enoinering design b. Machining c Inspection 30 Which statement below describes a variable cost? a. It varies in total with changes in the level of activity b It remains constant in total over different levels of activity c. It varies inversely in total with changes in the level of activity. d. It varies proportionately per unit with changes in the level of activity 31. Scorpio Company's activity for the first five months of 2016 are as folows: 2,100 2,700 2,600 2,900 2,400 $2,400 $2,900 $3,200 $2,600 April May Using the high-low method, how much is the cost per machine hour? a $1.00 $1.50 $1.13 $0.89 Vhich statement below describes a fixed cost? It varies in total with changes in the level of activity It remains constant in total over different levels of activity It varies inversely in total with changes in the level of activity t varies proportionately per unit with changes in the level of activity