Put your answer here (Column C)
(Multiple Choice) Which is the best cost accumulation procedure to use when there is a continuous mass production of like units? A. Process. B. Standard. C. Job order. D. ABC. E. None of these.	A
(Multiple Choice) Which of the following statements about process cost accounting is false? A. For production process where homogeneous goods are continuously produced. B. Basic journal entries are similar to those for job order cost accounting. C. Cannot be applied to situations with an ending work in process. D. Total cost is allocated between ending work in process plus units completed. E. None of these.
(Multiple Choice) Process cost accounting systems: A. employ job cost sheets. B. often accumulate work in process amounts by department. C. do not allow for overhead allocations. D. All of the above. E. None of these.
(Multiple Choice) In computing percentage of completion of ending work in process, a lower percentage-of-completion was attached to each component of inventory than actually was the case. What is the resultant effect of this error on the calculation of cost per equivalent unit? A. No effect B. Understate C. Overstate D. Cannot be determined E. None of these.
(Multiple Choice) A company had no beginning inventory and adds all materials at the very beginning of its only process. Assume 10,000 units were started, and 5,000 units completed. Ending work in process is 60% complete. The cost per equivalent unit of material is: A. $1.00 if total material cost is $3,000. B. $1.00 if total material cost is $5,000. C. $1.00 if total material cost is $8,000. D. $1.00 if total material cost is $10,000. E. None of these.
(Multiple Choice) Using weighted-average, total cost to account for in a process is $100,000, evenly divided between materials and conversion. Conversion consists of 75,000 equivalent units, divided one-fourth to work in process, and three-fourths to completed units, then: A. the information is insufficient to determine material costs in ending work in process. B. material costs included in ending work in process are $12,500. C. material costs included in ending work in process are $25,000. D. material costs included in ending work in process are $50,000. E. None of these.
(Multiple Choice) Under ABC, which of the following types of activities would be regarded as independent of the volume of production: A. Product-level activities. B. Unit-level activities C. Batch-level activities D. Customer-level activities E. None of these.
(Multiple Choice) Under activity based costing, which of the following types of costs would most likely require analysis to determine an activity cost per measure? A. Direct material B. Direct labor C. Unallocated costs D. Traceable costs E. None of these.
(Essay) Garrett, Inc., instituted a new process in October. During October, 9,000 units were started and 7,000 were transferred to finished goods. 2,000 remained in work in process at October 31. The work in process at October 31 was 100% complete as to material costs and 50% complete as to conversion costs. Material costs of $27,000 and conversion costs of $40,000 were charged in October. What were the total costs transferred to the finished goods inventory?		(Hint: the answer is a number.)
(Essay) Robbins Company had the following information for 20X5: Beginning work in process 100,000 units; units started, 575,000; and ending work in process, 75,000 units. The beginning work in process was 100% complete as to direct materials and 75% complete as to conversion costs. The ending work in process was 100% complete as to direct materials and 50% complete as to conversion costs. Total direct material put into process cost $575,000, total conversion costs put into process cost $843,750, and beginning work in process was $100,000 for material and $112,500 for conversion. Using weighted-average, what were the equivalent units of production for direct materials during 20X5? (optional: Under FIFO, what is the answer to this question?)		(Hint: the answer are two number.)
(Multiple Choice) The benefits of budgeting include: A. formalized planning. B. providing a basis for performance evaluation. C. opening lines of communication and coordination within an entity. D. All of the above. E. None of these.
(Multiple Choice) The bottom-up budget development approach the budget: A. is imposed on lower-level personnel who rarely are involved in budget construction. B. centers on lower-level employee participation. C. process begins with the issuance of general guidelines by top management. D. Both B and C. E. None of these.
(Multiple Choice) If budgeted sales increase from $100,000 to $110,000, budgeted production: A. should be increased by $10,000. B. should be increased by 9.1%. C. should be increased by 10%. D. could possibly decrease. E. None of these.
(Multiple Choice) Which of the following budgets is not specifically dependent on the short-run production budget? A. Direct materials budget. B. Direct labor budget. C. Factory overhead budget. D. Capital expenditures budget. E. None of these.
(Multiple Choice) A continuous budget typically: A. drops completed months and adds future months as time passes. B. is known as pro forma budgeting. C. is a top-down approach with management constantly issuing budget edicts. D. eliminates the need for periodic bank reconciliations. E. None of these.
(Multiple Choice) Anticipated unit sales are January, 5,000; February, 4,000; and March 8,000. Finished goods are consistently maintained at 80% of the following month's sales. How many units must Lancaster produce in January? A. 4,000 B. 5,000 C. 5,800 D. 8,200 E. None of these.
(Multiple Choice) Sweeney projects sales of $500,000. Cost of goods sold is 40% of sales, and administrative costs are $25,000. Depreciation of $5,000 is included in these expenses. There are no changes in inventories, payables, or receivables. A. Cash will increase by $500,000. B. Cash will increase by $300,000. C. Cash will increase by $275,000. D. Cash will increase by $270,000. E. None of these.
(Multiple Choice) Operations began May 1. Sales are budgeted to increase as $15,000, $17,000, and $20,000 for the first three months. Ending inventory is 75% of the next month's projected sales. Ending inventory for June is: A. $15,000. B. $11,250. C. $7,500 if the gross profit rate is 50%. D. $5,625 if the gross profit rate is 50%. E. None of these.
(Essay) Assume that March?s budgeted sales are 10,000 units. Beginning finished goods inventory contained 1,000 units, and 1,500 units are desired to be on hand at month end. Conversely, beginning direct materials inventory consisted of 1,500 units, but only 1,000 units are desired to be on hand at month end. Each finished unit requires 2 units of raw materials and 1 hour of direct labor. Raw materials cost $6 per unit, direct labor costs $9 per hour, factory overhead is applied at $7 per hour, and the company has no work in process. How much will raw material purchases amount to for March?		(Hint: the answer is a number.)
(Essay) Winchell Company has provided projected information as follows: Net sales of $10,000, fixed manufacturing costs of $1,000, and variable manufacturing costs of 45% of net sales. Assuming no change in inventory, what will the projected cost of goods sold be?		(Hint: the answer is a number.)
(Multiple Choice) The benefits of budgeting include: A. formalized planning. B. providing a basis for performance evaluation. C. opening lines of communication and coordination within an entity. D. All of the above. E. None of these.
(Multiple Choice) The bottom-up budget development approach the budget: A. is imposed on lower-level personnel who rarely are involved in budget construction. B. centers on lower-level employee participation. C. process begins with the issuance of general guidelines by top management. D. Both B and C. E. None of these.
(Multiple Choice) If budgeted sales increase from $100,000 to $110,000, budgeted production: A. should be increased by $10,000. B. should be increased by 9.1%. C. should be increased by 10%. D. could possibly decrease. E. None of these.
(Multiple Choice) Which of the following budgets is not specifically dependent on the short-run production budget? A. Direct materials budget. B. Direct labor budget. C. Factory overhead budget. D. Capital expenditures budget. E. None of these.
(Multiple Choice) A continuous budget typically: A. drops completed months and adds future months as time passes. B. is known as pro forma budgeting. C. is a top-down approach with management constantly issuing budget edicts. D. eliminates the need for periodic bank reconciliations. E. None of these.
(Multiple Choice) Anticipated unit sales are January, 5,000; February, 4,000; and March 8,000. Finished goods are consistently maintained at 80% of the following month's sales. How many units must Lancaster produce in January? A. 4,000 B. 5,000 C. 5,800 D. 8,200 E. None of these.
(Multiple Choice) Sweeney projects sales of $500,000. Cost of goods sold is 40% of sales, and administrative costs are $25,000. Depreciation of $5,000 is included in these expenses. There are no changes in inventories, payables, or receivables. A. Cash will increase by $500,000. B. Cash will increase by $300,000. C. Cash will increase by $275,000. D. Cash will increase by $270,000. E. None of these.
(Multiple Choice) Operations began May 1. Sales are budgeted to increase as $15,000, $17,000, and $20,000 for the first three months. Ending inventory is 75% of the next month's projected sales. Ending inventory for June is: A. $15,000. B. $11,250. C. $7,500 if the gross profit rate is 50%. D. $5,625 if the gross profit rate is 50%. E. None of these.
(Essay) Assume that March?s budgeted sales are 10,000 units. Beginning finished goods inventory contained 1,000 units, and 1,500 units are desired to be on hand at month end. Conversely, beginning direct materials inventory consisted of 1,500 units, but only 1,000 units are desired to be on hand at month end. Each finished unit requires 2 units of raw materials and 1 hour of direct labor. Raw materials cost $6 per unit, direct labor costs $9 per hour, factory overhead is applied at $7 per hour, and the company has no work in process. How much will raw material purchases amount to for March?		(Hint: the answer is a number.)
(Essay) Winchell Company has provided projected information as follows: Net sales of $10,000, fixed manufacturing costs of $1,000, and variable manufacturing costs of 45% of net sales. Assuming no change in inventory, what will the projected cost of goods sold be?		(Hint: the answer is a number.)

Structure of this quiz: Chapter Multiple Choice 17 Question 1-8 18 Question 11-18 19 Question 21-28 Problems (Essays) Question 9-10 Question 19-20 Question 29-30 You MUST observe the following rules when you complete the quiz: 1) All answers must be enterred under Column C, as specified below: A) For ALL multiple choice questions, a. Please select "one" answer. If you select two answers, it will be wrong. b. Please put down your answer under Column C. The format should be: >> One upper case letter (alphbet), for example: B or D >> Do not add any period or comma. Do not add any explanation. B) For ALL "Essay" questions EXCEPT #29 and #30, a. Please enter "one" final number ($ amount) as the answer under column C. b. If you like, you can show calculations/explanations under the designated (Back Up) tab. This is optional. >> If your final number is incorrect, I will look at your back up/explanation and consider giving partial/extra credit. C) For "Essay" questions #29, the answer is two job #'s. D) For "Essay" questions #30, the answer a journal entry. Please show Dr. and Cr.; accounts and $ amounts. 2) Do not change the format of this quiz in any way, such as re-sort the questions or reformating the columns. 3) All quizzes (any version) must be submitted in LEO under the Assignment tab. Please do not email it to me. It will not be counted. 6) If you think the question is not clear, please ask for clarification in LEO under Ask the Professor. Do not profide what-if answers on the quiz. Put your answer here (Column C) 1. (Multiple Choice) Which is the best cost accumulation procedure to use when there is a continuous mass production of like units? A. B. C. D. E. 2. Process. Standard. Job order. ABC. None of these. (Multiple Choice) Which of the following statements about process cost accounting is false? A. B. C. D. E. 3. For production process where homogeneous goods are continuously produced. Basic journal entries are similar to those for job order cost accounting. Cannot be applied to situations with an ending work in process. Total cost is allocated between ending work in process plus units completed. None of these. (Multiple Choice) Process cost accounting systems: A. B. C. D. E. 4. employ job cost sheets. often accumulate work in process amounts by department. do not allow for overhead allocations. All of the above. None of these. (Multiple Choice) In computing percentage of completion of ending work in process, a lower percentage-of-completion was attached to each component of inventory than actually was the case. What is the resultant effect of this error on the calculation of cost per equivalent unit? A. B. C. D. E. 5. No effect Understate Overstate Cannot be determined None of these. (Multiple Choice) A company had no beginning inventory and adds all materials at the very beginning of its only process. Assume 10,000 units were started, and 5,000 units completed. Ending work in process is 60% complete. The cost per equivalent unit of material is: A. B. C. D. E. 6. $1.00 if total material cost is $3,000. $1.00 if total material cost is $5,000. $1.00 if total material cost is $8,000. $1.00 if total material cost is $10,000. None of these. (Multiple Choice) Using weighted-average, total cost to account for in a process is $100,000, evenly divided between materials and conversion. Conversion consists of 75,000 equivalent units, divided one-fourth to work in process, and threefourths to completed units, then: A. the information is insufficient to determine material costs in ending work in process. B. material costs included in ending work in process are $12,500. C. material costs included in ending work in process are $25,000. D. material costs included in ending work in process are $50,000. E. None of these. 7. (Multiple Choice) Under ABC, which of the following types of activities would be regarded as independent of the volume of production: A. B. C. D. E. Product-level activities. Unit-level activities Batch-level activities Customer-level activities None of these. A 8. (Multiple Choice) Under activity based costing, which of the following types of costs would most likely require analysis to determine an activity cost per measure? A. B. C. D. E. 9. Direct material Direct labor Unallocated costs Traceable costs None of these. (Essay) Garrett, Inc., instituted a new process in October. During October, 9,000 units were started and 7,000 were transferred to finished goods. 2,000 remained in work in process at October 31. The work in process at October 31 was 100% complete as to material costs and 50% complete as to conversion costs. Material costs of $27,000 and conversion costs of $40,000 were charged in October. What were the total costs transferred to the finished goods inventory? (Hint: the answer is a number.) 10. (Essay) Robbins Company had the following information for 20X5: Beginning work in process 100,000 units; units started, 575,000; and ending work in process, 75,000 units. The beginning work in process was 100% complete as to direct materials and 75% complete as to conversion costs. The ending work in process was 100% complete as to direct materials and 50% complete as to conversion costs. Total direct material put into process cost $575,000, total conversion costs put into process cost $843,750, and beginning work in process was $100,000 for material and $112,500 for conversion. Using weighted-average, what were the equivalent units of production for direct materials during 20X5? (optional: Under FIFO, what is the answer to this question?) 11. (Multiple Choice) The benefits of budgeting include: A. B. C. D. E. formalized planning. providing a basis for performance evaluation. opening lines of communication and coordination within an entity. All of the above. None of these. 12. (Multiple Choice) The bottom-up budget development approach the budget: A. is imposed on lower-level personnel who rarely are involved in budget construction. B. centers on lower-level employee participation. C. process begins with the issuance of general guidelines by top management. D. Both B and C. E. None of these. 13. (Multiple Choice) If budgeted sales increase from $100,000 to $110,000, budgeted production: A. B. C. D. E. should be increased by $10,000. should be increased by 9.1%. should be increased by 10%. could possibly decrease. None of these. 14. (Multiple Choice) Which of the following budgets is not specifically dependent on the short-run production budget? A. B. C. D. E. Direct materials budget. Direct labor budget. Factory overhead budget. Capital expenditures budget. None of these. 15. (Multiple Choice) A continuous budget typically: A. drops completed months and adds future months as time passes. B. is known as pro forma budgeting. C. is a top-down approach with management constantly issuing budget edicts. D. eliminates the need for periodic bank reconciliations. E. None of these. (Hint: the answer are two number.) 16. (Multiple Choice) Anticipated unit sales are January, 5,000; February, 4,000; and March 8,000. Finished goods are consistently maintained at 80% of the following month's sales. How many units must Lancaster produce in January? A. B. C. D. E. 4,000 5,000 5,800 8,200 None of these. 17. (Multiple Choice) Sweeney projects sales of $500,000. Cost of goods sold is 40% of sales, and administrative costs are $25,000. Depreciation of $5,000 is included in these expenses. There are no changes in inventories, payables, or receivables. A. B. C. D. E. Cash will increase by $500,000. Cash will increase by $300,000. Cash will increase by $275,000. Cash will increase by $270,000. None of these. 18. (Multiple Choice) Operations began May 1. Sales are budgeted to increase as $15,000, $17,000, and $20,000 for the first three months. Ending inventory is 75% of the next month's projected sales. Ending inventory for June is: A. B. C. D. E. $15,000. $11,250. $7,500 if the gross profit rate is 50%. $5,625 if the gross profit rate is 50%. None of these. 19. (Essay) Assume that March's budgeted sales are 10,000 units. Beginning finished goods inventory contained 1,000 units, and 1,500 units are desired to be on hand at month end. Conversely, beginning direct materials inventory consisted of 1,500 units, but only 1,000 units are desired to be on hand at month end. Each finished unit requires 2 units of raw materials and 1 hour of direct labor. Raw materials cost $6 per unit, direct labor costs $9 per hour, factory overhead is applied at $7 per hour, and the company has no work in process. How much will raw material purchases amount to for March? (Hint: the answer is a number.) 20. (Essay) Winchell Company has provided projected information as follows: Net sales of $10,000, fixed manufacturing costs of $1,000, and variable manufacturing costs of 45% of net sales. Assuming no change in inventory, what will the projected cost of goods sold be? 21. (Multiple Choice) The benefits of budgeting include: A. B. C. D. E. formalized planning. providing a basis for performance evaluation. opening lines of communication and coordination within an entity. All of the above. None of these. 22. (Multiple Choice) The bottom-up budget development approach the budget: A. is imposed on lower-level personnel who rarely are involved in budget construction. B. centers on lower-level employee participation. C. process begins with the issuance of general guidelines by top management. D. Both B and C. E. None of these. 23. (Multiple Choice) If budgeted sales increase from $100,000 to $110,000, budgeted production: A. B. C. D. E. should be increased by $10,000. should be increased by 9.1%. should be increased by 10%. could possibly decrease. None of these. (Hint: the answer is a number.) 24. (Multiple Choice) Which of the following budgets is not specifically dependent on the short-run production budget? A. B. C. D. E. Direct materials budget. Direct labor budget. Factory overhead budget. Capital expenditures budget. None of these. 25. (Multiple Choice) A continuous budget typically: A. drops completed months and adds future months as time passes. B. is known as pro forma budgeting. C. is a top-down approach with management constantly issuing budget edicts. D. eliminates the need for periodic bank reconciliations. E. None of these. 26. (Multiple Choice) Anticipated unit sales are January, 5,000; February, 4,000; and March 8,000. Finished goods are consistently maintained at 80% of the following month's sales. How many units must Lancaster produce in January? A. B. C. D. E. 4,000 5,000 5,800 8,200 None of these. 27. (Multiple Choice) Sweeney projects sales of $500,000. Cost of goods sold is 40% of sales, and administrative costs are $25,000. Depreciation of $5,000 is included in these expenses. There are no changes in inventories, payables, or receivables. A. B. C. D. E. Cash will increase by $500,000. Cash will increase by $300,000. Cash will increase by $275,000. Cash will increase by $270,000. None of these. 28. (Multiple Choice) Operations began May 1. Sales are budgeted to increase as $15,000, $17,000, and $20,000 for the first three months. Ending inventory is 75% of the next month's projected sales. Ending inventory for June is: A. B. C. D. E. $15,000. $11,250. $7,500 if the gross profit rate is 50%. $5,625 if the gross profit rate is 50%. None of these. 29. (Essay) Assume that March's budgeted sales are 10,000 units. Beginning finished goods inventory contained 1,000 units, and 1,500 units are desired to be on hand at month end. Conversely, beginning direct materials inventory consisted of 1,500 units, but only 1,000 units are desired to be on hand at month end. Each finished unit requires 2 units of raw materials and 1 hour of direct labor. Raw materials cost $6 per unit, direct labor costs $9 per hour, factory overhead is applied at $7 per hour, and the company has no work in process. How much will raw material purchases amount to for March? (Hint: the answer is a number.) 30. (Essay) Winchell Company has provided projected information as follows: Net sales of $10,000, fixed manufacturing costs of $1,000, and variable manufacturing costs of 45% of net sales. Assuming no change in inventory, what will the projected cost of goods sold be? (Hint: the answer is a number.) NOTE: This applies to the Essey questions ONLY. You can choose show your back-up details to the Essey questions here (tab 2). If your final answer (tab 1) is invorrect, I will give you partial credit base on the back-up information. (Please number your work clearly so that I can follow your logic.)