6 the actual costs of all individual overhead categories are recorded in the manufac 4315176

6) The actual costs of all individual overhead categories are recorded in the manufacturing overhead control account as credit entries.

7) The manufacturing overhead control account and the manufacturing overhead allocated account both have zero balances at the end of each year after all adjustments are recorded.

8) The general ledger account that combines the separate job cost records is called the ________ account.

A) Cost of Goods Sold

B) Finished Goods Control

C) Manufacturing Overhead Allocated

D) Manufacturing Overhead Control

E) Work-in-Process Control

9) XYZ Company uses a normal job costing system. The direct labour rate is $27 per hour; and, the budgeted indirect cost allocation rate is $20 and uses direct labour hours as the cost allocation base.

Direct labour hours

1,000

Direct materials cost

$12,000

Marketing costs

$17,000

Non-manufacturing overhead

$9,000

What amount should be added to Work-in-Process control?

A) $12,000

B) $47,000

C) $59,000

D) $76,000

E) $85,000

10) In normal costing the manufacturing overhead control and manufacturing overhead allocated accounts in the general ledger respectively, refer to

A) the record of actual overhead costs, and the record of overhead allocated to specific jobs using budgeted rates × actual base units.

B) the record of total budgeted overhead costs and the record of actual overhead allocated to date.

C) the record of actual overhead costs, and the record of overhead allocated to specific jobs using actual rates × budgeted base units.

D) the record of total budgeted overhead costs, and the record of overhead allocated to specific jobs using budgeted rates × actual base units.

E) the record of actual overhead costs, and the record of overhead allocated to specific jobs using budgeted rates × budgeted base units.

11) To allocate or spread the under/overallocated overhead between ending Inventory, Cost of Goods Sold, and the Work-in-Process control accounts is called the

A) adjusted allocation-rate approach.

B) proration approach.

C) flexible budget approach.

D) allocation variance approach.

E) inventory adjustment approach.

12) When using the proration approach the final balance in the Manufacturing Overhead Control account can be closed to which account(s) at year-end?

A) Work-in-Process Control

B) Income Summary

C) Finished Goods Inventory

D) Cost of Goods Sold

E) Work-in-Process Control, Finished Goods Inventory or Cost of Goods Sold would normally be used.

13) The Manufacturing Overhead Control account is debited for

A) the actual costs in all the individual overhead categories ( such as indirect materials and electric power).

B) the amount of the under applied overhead.

C) the budgeted costs in all the individual overhead categories ( such as indirect materials and electric power).

D) the budgeted amount of indirect manufacturing overhead costs.

E) the overhead allocated to Work-in-Process inventory.

14) Which method(s) for dealing with under/over allocated overhead provides the most accurate inventory and cost of goods sold account balances when the amount is material?

A) proration approach

B) adjusted allocation-rate approach

C) immediate write-off to cost of goods sold

D) either proration or adjusted allocation-rate approach

E) either the proration approach or the immediate write-off to cost of goods sold

15) Which method for dealing with under/over allocated overhead provides the most accurate individual job cost records?

A) proration approach

B) adjusted allocation-rate approach

C) immediate write-off to cost of goods sold

D) either proration or adjusted allocation-rate approach would give same result

E) either the proration approach or the immediate write-off to cost of goods sold

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