question computations using general ledger work in process 35 200 finished goods 86 4304936

Question

Computations using general ledger;

Work in process $ 35,200

Finished goods 86,900

Cost of goods sold 128,700

Work in Process consisted of two jobs, no. 101 ($20,400) and no.103 ($14,800). During May, direct materials requisitioned from thestoreroom amounted to $96,500, and direct labor incurred totaled$114,500. These figures are subdivided as follows:

Direct Materials Direct Labor

Job No. Amount Job No. Amount

101 $5,000 101 $7,800

115 19,500 103 20,800

116 36,200 115 42,000

Other 35,800 116 18,000

$96,500 Other 25,900

$114,500

Job no. 115 was the only job in process at the end of the month.Job no. 101 and three “other” jobs were sold during May at a profitof 20% of cost. The “other” jobs contained material and laborcharges of $21,000 and $17,400, respectively.

General applies overhead daily at the rate of 150% of directlabor cost as labor summaries are posted to job orders. The firm'sfiscal year ends on May 31.

Instructions:

a. Compute the total overhead applied to production duringMay.

b. Compute the cost of the ending work in process inventory.

c. Compute the cost of jobs completed during May.

d. Compute the cost of goods sold for the year ended May 31.

 

55 the three elements that make up a balance sheet are assets liabilities and expens 4305814

55) The three elements that make up a balance sheet are assets, liabilities and expenses.

56) The accounting equation states that total assets must always equal total liabilities plus owner's equity.

57) The parties that have claims against the assets of the business are called creditors and owners.

58) The ending capital figure on the statement of owner's equity will be used on the balance sheet.

59) The accounting equation states that total assets must always equal total liabilities plus owner's equity.

60) A transaction can occur which will affect only the assets side of the accounting equation.

61) If liabilities are $10,000 and assets are $15,000, owner's equity will be $5,000.

4 wininger incorporated reported the following information about the production and 4308538

4) Wininger Incorporated reported the following information about the production and sale of its only product during the first month of operations:

Selling price per unit$300

Sales$480,000

Direct materials used$220,000

Direct labor$200,000

Variable factory overhead$60,000

Fixed factory overhead$80,000

Variable selling and administrative expenses$20,000

Fixed selling and administrative expenses$10,000

Ending inventory, Direct Materials0

Ending inventory, Work-in-process0

Ending inventory, Finished Goods400 units

Under variable costing, the product cost per unit is ________.

A) $160

B) $170

C) $200

D) $240

5) Durante Company reported the following information about the production and sale of its only product during the first month of operations:

Selling price per unit$300

Sales$480,000

Direct materials used$220,000

Direct labor$200,000

Variable factory overhead$60,000

Fixed factory overhead$80,000

Variable selling and administrative expenses$20,000

Fixed selling and administrative expenses$10,000

Ending inventory, Direct Materials0

Ending inventory, Work-in-process0

Ending inventory, Finished Goods400 units

Under variable costing, the cost of finished goods ending inventory is ________.

A) $64,000

B) $68,000

C) $80,000

D) $96,000

6) Kaprelian Company reported the following information about the production and sale of its only product during the first month of operations:

Selling price per unit$300

Sales$480,000

Direct materials used$220,000

Direct labor$200,000

Variable factory overhead$60,000

Fixed factory overhead$80,000

Variable selling and administrative expenses$20,000

Fixed selling and administrative expenses$10,000

Ending inventory, Direct Materials0

Ending inventory, Work-in-process0

Ending inventory, Finished Goods400 units

Under variable costing, the variable manufacturing cost of goods sold is ________.

A) $256,000

B) $272,000

C) $320,000

D) $384,000

7) Jorgensen Company reported the following information about the production and sale of its only product during the first month of operations:

Selling price per unit$300

Sales$480,000

Direct materials used$220,000

Direct labor$200,000

Variable factory overhead$60,000

Fixed factory overhead$80,000

Variable selling and administrative expenses$20,000

Fixed selling and administrative expenses$10,000

Ending inventory, Direct Materials0

Ending inventory, Work-in-process0

Ending inventory, Finished Goods400 units

Under variable costing, the contribution margin is ________.

A) $20,000

B) $40,000

C) $76,000

D) $104,000

8) Gnat Company reported the following information about the production and sale of its only product during the first month of operations:

Selling price per unit$300

Sales$480,000

Direct materials used$220,000

Direct labor$200,000

Variable factory overhead$60,000

Fixed factory overhead$80,000

Variable selling and administrative expenses$20,000

Fixed selling and administrative expenses$10,000

Ending inventory, Direct Materials0

Ending inventory, Work-in-process0

Ending inventory, Finished Goods400 units

Under variable costing, the operating income or loss is ________.

A) $(6,000)

B) $(14,000)

C) $10,000

D) $41,000

9) Stelloh Company reported the following information about the production and sale of its only product during the first month of operations:

Selling price per unit$65

Sales$78,000

Direct materials used$25,000

Direct labor$35,000

Variable factory overhead$15,000

Fixed factory overhead$10,000

Variable selling and administrative expenses$3,000

Fixed selling and administrative expenses$5,000

Ending inventory, Direct Materials0

Ending inventory, Work-in-process0

Ending inventory, Finished Goods1,200 units

Under variable costing, what is the product cost per unit?

A) $30.00

B) $31.25

C) $35.42

D) $39.00

10) Lorna Company reported the following information about the production and sale of its only product during the first month of operations:

Selling price per unit$65

Sales$78,000

Direct materials used$25,000

Direct labor$35,000

Variable factory overhead$15,000

Fixed factory overhead$10,000

Variable selling and administrative expenses$3,000

Fixed selling and administrative expenses$5,000

Ending inventory, Direct Materials0

Ending inventory, Work-in-process0

Ending inventory, Finished Goods1,200 units

Under variable costing, the cost of ending inventory of finished goods is ________.

A) $35,000

B) $37,500

C) $39,000

D) $42,500

11) Dolhun Industries Inc. reported the following information about the production and sale of its only product during the first month of operations:

Selling price per unit$65

Sales$78,000

Direct materials used$25,000

Direct labor$35,000

Variable factory overhead$15,000

Fixed factory overhead$10,000

Variable selling and administrative expenses$3,000

Fixed selling and administrative expenses$5,000

Ending inventory, Direct Materials0

Ending inventory, Work-in-process0

Ending inventory, Finished Goods1,200 units

Under variable costing, the variable manufacturing cost of goods sold is ________.

A) $35,000

B) $37,500

C) $39,000

D) $42,500

12) Seidner Industries reported the following information about the production and sale of its only product during the first month of operations:

Selling price per unit$65

Sales$78,000

Direct materials used$25,000

Direct labor$35,000

Variable factory overhead$15,000

Fixed factory overhead$10,000

Variable selling and administrative expenses$3,000

Fixed selling and administrative expenses$5,000

Ending inventory, Direct Materials0

Ending inventory, Work-in-process0

Ending inventory, Finished Goods1,200 units

Under variable costing, the contribution margin is ________.

A) $32,000

B) $36,000

C) $37,500

D) $39,500

13) Freund Industries Inc. reported the following information about the production and sale of its only product during the first month of operations:

Selling price per unit$100.00

Sales$100,000

Direct materials used$37,500

Direct labor$36,000

Variable factory overhead$25,500

Fixed factory overhead20,000

Variable selling and administrative expenses$2,000

Fixed selling and administrative expenses$7,500

Ending inventory, Direct Materials0

Ending inventory, Work-in-process0

Ending inventory, Finished Goods1,200 units

Under variable costing, what is the product cost per unit?

A) $40.00

B) $42.00

C) $45.00

D) $54.09

6 depreciation expense is listed on the direct method statement of cash flows becaus 4310525

6) Depreciation expense is listed on the direct-method statement of cash flows because it affects income.

7) Under the direct method, cash receipts from dividend revenue affect the statement of cash flows, but not the income statement.

8) During 2012, ABC Corporation's purchases totaled $250,000 and Accounts Payable decreased by $7,000; therefore, the cash paid to suppliers was $257,000.

9) An increase in Accounts Receivable during the reporting period indicates that cash collections from customers was less than credit sales on the income statement.

10) During 2012, ABC Corporation's Revenues from Sales totaled $450,000 and Accounts Receivable decreased by $7,000; therefore, the cash received from customers was $443,000.

11) An increase in Interest Payable during the reporting period indicates that cash paid for interest exceeded Interest Expense on the income statement.

12) The direct method of preparing the statement of cash flows:

A) reports where cash came from and how it was spent on operating activities.

B) is used by a vast majority of companies.

C) is preferred by FASB.

D) is much easier for companies to compute.

13) All of the following would be reported under operating activities EXCEPT cash receipts from:

A) collections of customers.

B) interest received on notes receivable.

C) dividends received on investments in stock.

D) sales of investments.

14) Under the direct method of preparing the statement of cash flows, cash receipts from operating activities do NOT include:

A) payments to suppliers.

B) collections from customers.

C) receipt of interest on investments.

D) receipt of dividends on investments.

15) Westside, Inc. reported Cost of Goods Sold for the current year of $320,000. During the same period, the Inventory account decreased $15,000 and the Accounts Payable account increased $25,000. The amount of cash paid to suppliers is:

A) $360,000.

B) $330,000.

C) $310,000.

D) $280,000.

true false write 39 t 39 if the statement is true and 39 f 39 if the statement is fa 4302441

TRUE/FALSE.

Write 'T' if the statement is true and 'F' if the statement is false. 1)

The three major influences on pricing decisions are: costs, competitors, and customers.
1)

_______

2)

Managers have little discretion in setting prices in market situations which are not competitive.
2)

_______

3)

The two ends of the decision-time spectrum are the time-horizon and the one-time-only horizon.
3)

_______

4)

Pricing decisions that are long-run based should focus on more than short-run costs.
4)

_______

5)

Knowledge of long-run product costs helps guide decisions about entering or remaining in the market for a given product when in a highly competitive price-setting situation.
5)

_______

6)

Target pricing requires four steps: (1) developing a needed product, (2) choosing a target price, (3) deriving a target cost per unit, and (4) performing value engineering.
6)

_______

7)

Value engineering is a time-and-motion system that can result in: improvements in product designs, changes in material specifications, or modifications in process methods.
7)

_______

8)

Cost systems emphasize cost occurrence by recognizing and recording costs only when they are incurred.
8)

_______

9)

Locked-in costs are costs that have been incurred.
9)

_______

10)

The 'plus' relates to the percentage target return on investment in cost-plus pricing.
10)

______

 

 

51 the accumulated depreciation account is a a record of the sum of all the deprecia 4306804

51) The Accumulated Depreciation account is ________.

A) a record of the sum of all the depreciation expense recorded

B) the price quoted to the buyer of a used asset

C) an expense account

D) the expense account used to expense the cost of an asset

52) On January 1, 2015, the Accounts Receivable of Linda Inc. had a debit balance of $20,000. During January, the company provided services for $600,000 on account. The company collected $250,000 from its customers on account in January. What was the ending balance in the Accounts Receivable account at the end of January?

A) $350,000

B) $620,000

C) $370,000

D) $600,000

53) Qwerty Inc. prepaid $3,600 on November 1, 2014 for a one-year insurance premium. On January 1, 2015 of the next year (after December 31 adjustments), the Prepaid Insurance account will have a debit balance of ________.

A) $3,300

B) $3,900

C) $3,600

D) $3,000

54) Pluto Inc. sells tickets in advance for its weekly productions and records the proceeds as Unearned Revenue. At the end of each month, the company makes an adjusting entry to account for the tickets used during the month (ticket revenue.) On March 1, the Unearned Revenue account had a credit balance of $4,000. During March, it sold 300 tickets at $20 each and 250 tickets were used during the month. What is the balance in Unearned Revenue at the end of March?

A) credit balance of $5,000

B) debit balance of $4,000

C) credit balance of $4,000

D) debit balance of $5,000

55) Techno Technical Services is working on a six-month job for a client, starting on February 1. It will collect $30,000 from its customer when the job is finished. On March 1, the company's Accounts Receivable account had a debit balance of $5,000. At the end of March, after monthly adjusting entries have been made, what will be the balance in Accounts Receivable?

A) Debit balance of $5,000

B) Credit balance of $25,000

C) Debit balance of $10,000

D) Debit balance of $30,000

56) Classic Artists' Services hired a maintenance man to maintain a building that it will use for office purposes. The maintenance man will begin work on February 1 and work through till May 31. Classic Artists' will pay the maintenance man $4,000 at the end of May. It accrues Maintenance Expense at the end of every month. What is the balance in the Accounts Payable account for amounts owed to the maintenance man at the end of March?

A) Debit balance of $4,000

B) Credit balance of $2,000

C) Debit balance of $2,000

D) Credit balance of $4,000

57) On December 31, 2014, the balance in Pinnacle Exploration Company's Unearned Revenue account was a credit of $8,000. In January, 2015, the company received an advance payment of $14,000 from a new customer for services to be performed. By January 31, adjustments were made to recognize $7,000 of the revenue which had been earned during January. What was the balance in Unearned Revenue on January 31, 2015?

A) $7,000 credit

B) $ 14,000 debit

C) $8,000 credit

D) $15,000 credit

58) A business purchased equipment for $150,000 on January 1, 2015. The equipment will be depreciated over five years of its useful life using the straight-line depreciation method. The business records depreciation once a year on December 31. Which of the following is the adjusting entry required to record depreciation on equipment for the year 2015? (Assume the salvage value of the acquired equipment to be zero.)

A) Debit $150,000 to Equipment and credit $150,000 to Cash.

B) Debit $150,000 to Depreciation Expense—Equipment and credit $150,000 to Accumulated Depreciation—Equipment.

C) Debit $30,000 to Depreciation Expense—Equipment and credit $30,000 to Accumulated Depreciation—Equipment.

D) Debit $30,000 to Depreciation Expense and credit $30,000 to Equipment.

59) On September 1, 2014, Joy Inc. paid $8,000 in advance for an 8-month rental space covering the period of September, 2014 through April, 2015. The prepaid expense was initially recorded as an asset. Joy Inc. makes adjusting entries once a year at year-end. The adjusting entry on December 31, 2014 would include a ________.

A) debit of $8,000 to Cash

B) credit of $8,000 to Prepaid Rent.

C) debit of $4,000 to Rent Expense

D) credit of $4,000 to Rent Expense

60) Saturn Inc. signed a one-year $12,000 note payable at 8% interest on May 1, 2015. How much interest expense must be accrued on May 31, 2015?

A) $960

B) $320

C) $80

D) $40

true false questions 1 a statement of cost goods manufactured supports the income st 4302089

True / False Questions
 

1. A statement of cost goods manufactured supports the income statement. 
True    False

 

2. The beginning and ending balances of the finished goods inventory are not used in the computation of cost of goods manufactured. 
True    False

 

3. Raw Materials Used is not an element of manufacturing overhead. 
True    False

 

4. Amounts paid to factory repair and maintenance employees are considered direct labor. 
True    False

 

5. Cleaning materials and lubricants used in factory operations and maintenance are considered manufacturing overhead. 
True    False

 

6. The Cost of Goods Sold section of the income statement for a manufacturing business shows the work in process inventory. 
True    False

 

7. Products that are only partially completed are called work in process. 
True    False

 

8. Information about depreciation, insurance, and property taxes for the factory building of a manufacturing business would be shown in the Operating Expenses section of the income statement. 
True    False

 

9. The amounts of the raw materials used, direct labor, and manufacturing overhead for a fiscal period are reported on the statement of cost of goods manufactured. 
True    False

 

10. Gross profit for a manufacturing business is computed by deducting cost of goods manufactured from net sales. 
True    False

 

 

 

question c 1 fill in the quot with subsidy quot chart 2 compleate the two sentences 4305151

Question

C

1- FILL IN THE “WITH SUBSIDY” CHART

2-compleate the two sentences with the banks.

In this case, if Hightech decides to produce, it will incur a : A.loss B. Profit of ………….. .

However, if Hightech decides against launching its new product, Inobeshon`s : A. Loss B.profit will be ……….. .

assuming that the two companies produces entirerly for export, the subsidy results in a transfer of ………… in : a.loss b.profit from : A. the united states B. japan to : A. jAPAN B. United states.

table 10 9 sandu trucking on july 1 2013 sandu trucking bought a truck for 42 000 ca 4308981

 

Table 10-9 Sandu Trucking

On July 1, 2013, Sandu Trucking bought a truck for $42,000 cash. It has estimated residual value of $6,000, and an estimated life of 4 years, or 300,000 kilometres. The truck drove 80,000 kilometres in 2013, 90,000 kilometres in 2014, 100,000 kilometres in 2015, and 50,000 kilometres in 2016. Sandu Trucking has a December 31st year end. 

91) Refer to Table 10-9. Prepare the journal entry to record the sale of the truck on March 31, 2015 for $21,000 assuming that Sandu Trucking uses straight-line amortization up to the point of sale.

 

 

 

 

17 1 questions 1 consolidated financial statements combine the books of two or more 4307850

 

17.1   Questions

1) Consolidated financial statements combine the books of two or more ________ into one set of financial statements.

A) subsidiaries

B) divisions

C) separate legal entities

D) segments

2) Dividends received from trading securities are reported by the investor as ________.

A) an increase in the investment account

B) a decrease in the investment account

C) dividend revenue on the income statement

D) equity in earnings of the investee on the income statement

3) Dividends received from available-for-sale securities are reported by the investor as ________.

A) an increase in the investment account

B) a decrease in the investment account

C) dividend revenue on the income statement

D) equity in earnings of the investee on the income statement

4) An investor in trading securities has the following information available at December 31, 2012:

Market value of trading securities$10,000

Acquisition cost of trading securities$9,000

How does the investor report the change in market value on the trading securities at December 31, 2012?

A) unrealized loss of $1,000 on income statement

B) unrealized gain of $1,000 on income statement

C) $1,000 is added to other comprehensive income account on the balance sheet

D) $1,000 is subtracted from the other comprehensive income account on the balance sheet

5) An investor in available-for-sale securities has the following information available at December 31, 2012:

Market value of available-for-sale securities$10,000

Acquisition cost of available-for-sale securities$9,000

How does the investor report the change in market value on the available-for-sale securities at December 31, 2012?

A) unrealized loss of $1,000 on income statement

B) unrealized gain of $1,000 on income statement

C) $1,000 is added to accumulated other comprehensive income account on the balance sheet

D) $1,000 is subtracted from the accumulated other comprehensive income account on the balance sheet

6) Changes in the market value of trading securities are reflected in the ________ account.  Changes in the market value of available-for-sale securities are reflected in the ________ account.

A) equity in earnings of investment; retained earnings

B) retained earnings; equity in earnings of investment

C) retained earnings; other comprehensive income or loss

D) other comprehensive income or loss; retained earnings

7) Company B has 40,000 shares of its common stock outstanding.  Company A owns 5,000 shares of Company B's stock.  What method should Company A use to account for its investment in Company B?

A) market-value

B) equity

C) consolidated

D) available-for-sale

8) Company B has 40,000 shares of its common stock outstanding.  Company A owns 15,000 shares of Company B's stock.  What method should Company A use to account for its investment in Company B?

A) market-value

B) equity

C) consolidated

D) available-for-sale

9) Company B has 40,000 shares of its common stock outstanding.  Company A owns 35,000 shares of Company B's stock.  What method should Company A use to account for its investment in Company B?

A) market-value

B) equity

C) consolidated

D) cost

10) Marketable securities that the investor company buys only with the intent to resell them shortly are called ________.

A) available-for-sale securities

B) underpriced securities

C) trading securities

D) options

1