Question 11 pts

Stanley Manufacturing Company has the following information related to its Inventory accounts.

Beginning Year Balance Ending Year Balance

Raw Materials $9,000 $7,000

Work in Process $3,000 $1,000

Finished Goods $28,000 $34,000

During the year, Stanley purchased raw materials worth $ 50,000.

Compute Stanley's cost of materials used for production during the year.

Group of answer choices

$46,000

$48,000

$50,000

$52,000

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Question 21 pts

Lampe Company uses a single predetermined overhead rate to assign overhead to work-in-process inventory. Its Manufacturing Overhead account has a $2,100 debit balance at the end of the month. What does this imply?

Group of answer choices

Cost of goods sold for the month has been overstated.

Finished Goods Inventory at the end of the month is overstated.

Actual overhead costs were greater than overhead costs applied to jobs.

Actual overhead costs were less than overhead costs applied to jobs.

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Question 31 pts

Flora Corp. reported the following for its current year:

Sales revenue $1,000,000

Variable costs:

Materials $160,000

Order processing 75,000

Billing labor 55,000

Delivery costs 40,000

Selling expenses 30,000

Total variable costs 360,000

Fixed costs 600,000

Net income $ 40,000

What is the Flora Corp's break-even point in sales dollars?

Group of answer choices

$937,500

$948,750

$920,000

$960,000

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Question 41 pts

When establishing its predetermined overhead rate, Jonas Company expected its annual overhead costs to be $840,000 and machine hours to be 40,000 hours.

Actual overhead incurred was $880,000, and actual machine hours were 35,000 hours.

How much is Jonas Company's predetermined overhead rate (rounded to the nearest dollar) per machine hour?

Group of answer choices

$24

$22

$25

$21

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Question 51 pts

When comparing job order costing to process costing

Group of answer choices

job order costing requires less time to record costs.

job order costing is simpler to use.

job order costing is more likely to be used when a company manufactures a large volume of similar products.

job order costing produces more accurate costs.

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Question 61 pts

Denco expects to incur a total of $350,000 related to overhead costs this year in its three main departments.

It estimates departmental costs as follows: machining ($200,000), inspections ($100,000) and packing ($50,000).

The machining department incurs 20,000 machine hours per year,

there are 500 inspections per year,

and the packing department packs 500 orders per year.

Information about Dencos two products is as follows:

		Product 100	Product 200
	Number of direct labor hours per year: 1,000	240	760
Cost	Department Cost Driver Detail
$200,000	Machining hours used per year: 20,000	10,000	10,000
$100,000	Inspections completed per year: 500	290	210
$ 50,000	Orders packed per year: 500	100	400

Using ABC, how much overhead will be assigned to Product 200 this year?

Group of answer choices

$175,000

$182,000

$266,000

$168,000

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Question 71 pts

Barlow Industries used high-low data from June and July to determine its variable cost was $3 per unit. Additional information follows:

Month	Units produced	Total costs
June	4,000	$20,000
July	7,200	29,600

If Barlow produces 5,100 units in August, how much is its total cost expected to be?

Group of answer choices

$24,900

$25,500

$22,800

$23,300

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Question 81 pts

Denco expects to incur a total of $350,000 related to overhead costs this year in its three main departments.

It estimates departmental costs as follows: machining ($200,000), inspections ($100,000) and packing ($50,000).

The machining department incurs 20,000 machine hours per year,

there are 500 inspections per year,

and the packing department packs 500 orders per year.

Information about Dencos two products is as follows:

		Product 100	Product 200
	Number of direct labor hours per year: 1,000	240	760
Cost	Department Cost Driver Detail
$200,000	Machining hours used per year: 20,000	10,000	10,000
$100,000	Inspections completed per year: 500	290	210
$ 50,000	Orders packed per year: 500	100	400

If direct labor hours are used as the activity base in a traditional costing system, how much overhead will be assigned to Product 200 this year?

Group of answer choices

$182,000

$168,000

$175,000

$266,000

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Question 91 pts

Product ABC has variable costs that are 35% of sales dollars. Product ABC's selling price is $100 per unit.

If the company sells one unit more than the units required to reach break even sales for ABC, how much will the company's net income increase?

Group of answer choices

$ 100

$65

Cannot be determined without knowing fixed costs

$35

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Question 101 pts

Which of the following best describes managerial accounting reports?

Group of answer choices

General-purpose reports for internal users.

Regulatory reports for internal users.

GAAP reports for internal users.

Specific-purpose reports for internal users.

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