True or False questions

23) 23) Netzone Company is in semiconductor industry and fabrication of silicon-wafer chips splits off two types of memory chips, Standard and Premium. The following information was collected for last quarter of the calendar year: Direct materials processed: 300 kgs (Both standard and premium chips weigh 10 grams each) Production: Standard 12,000 chips Premium 6800 chips Sales: Standard 11,600 at $190 per chip Premium 6300 at $240 per chip The cost of purchasing 300 kgs of direct materials and processing it up to the split-off point to yield a total of 18,800 chips of good products was $2,030,000. Beginning inventories totalled 150 chips for Standard and 80 chips for Premium. Ending inventory amounts reflected 150 chips of Standard and 80 chips of Premium. October costs per unit were the same as November. When using a physical-volume measure, what is the approximate amount of joint costs that will be allocated Premium chips? (Round intermediary percentages to the nearest hundredth.) A) $1,015,000 B) $734,251 C) $714,469 D) $669,106 is the 24) 24) When the selling prices of all products at the split-off point are unavailable, the best alternative for allocating joint costs. A) physical measures method B) constant gross-margin percentage method C) sales value at split-off method D) NRV method 25) 25) Which of the following entries is used to record the standard costs of direct materials assigned to units worked on and total direct materials variances? A) Work in Process (at actual costs) B) Work in Process (at standard costs) Direct Materials Variances Direct Materials Variances Direct Materials Control Direct Materials Control C) Direct Materials Variances D) Direct Materials Variances Direct Materials Control Direct Materials Control Work in Process (at actual costs) Work in Process (at standard costs) 26) 26) Which of the following is an assumption under FIFO process-costing method? A) It assumes that unit inputs costs are constant and do not fluctuate in the short run. B) It assumes that the ending work in process consists of only the lower-cost current period units. C) It assumes some of the higher-cost units are placed in ending work in process. D) It assumes that all the lower-cost units from the previous period in beginning work in process are the first to be completed and transferred out of the process