Question 1

Luebke Inc.has provided the following data for the month of November.The balance in the Finished Goods inventory account at the beginning of the month was $52,000 and at the end of the month was $30,000.The cost of goods manufactured for the month was $212,000.The actual manufacturing overhead cost incurred was $55,000 and the manufacturing overhead cost applied to Work in Process was $58,000.The company closes out any underapplied or overapplied manufacturing overhead to cost of goods sold.The adjusted cost of goods sold that would appear on the income statement for November is:

Accepted Answer

A)  $231,000
B)  $190,000
C)  $234,000
D)  $212,000E) All of the above
F) B) and D)

Question 2

The total amount of manufacturing overhead applied to production is:

Accepted Answer

A)  $1,755,000
B)  $546,000
C)  $606,000
D)  $611,000E) B) and C)
F) All of the above

Question 3

Refer to the T-account below:  The ending balance of $8,000 represents which of the following?

Accepted Answer

A)  Underapplied overhead.
B)  Manufacturing overhead that will be carried over to the next period.
C)  Overapplied overhead.
D)  A bookkeeping error.E) A) and D)
F) All of the above

Question 4

How much is the unadjusted cost of goods sold on the Schedule of Cost of Goods Sold?

Accepted Answer

A)  $136,000
B)  $141,000
C)  $144,000
D)  $185,000E) None of the above
F) A) and D)

Question 5

Holmstrom Corporation has provided the following data concerning last month's operations.   How much is the cost of goods available for sale on the Schedule of Cost of Goods Sold?

Accepted Answer

A)  $186,000
B)  $145,000
C)  $144,000
D)  $138,000E) A) and B)
F) A) and C)

Question 6

If the applied manufacturing overhead was $223,900, the actual manufacturing overhead cost for the year was:

Accepted Answer

A)  $200,700
B)  $260,600
C)  $200,200
D)  $187,200E) None of the above
F) C) and D)

Question 7

How much is the adjusted cost of goods sold on the Schedule of Cost of Goods Sold?

Accepted Answer

A)  $170,000
B)  $167,000
C)  $203,000
D)  $163,000E) C) and D)
F) None of the above

Question 8

The direct materials cost was:

Accepted Answer

A)  $8,000
B)  $5,700
C)  $3,600
D)  $4,700E) None of the above
F) B) and C)

Question 9

Matthias Corporation has provided data concerning the Corporation's Manufacturing Overhead account for the month of May.Prior to the closing of the overapplied or underapplied balance to Cost of Goods Sold, the total of the debits to the Manufacturing Overhead account was $53,000 and the total of the credits to the account was $69,000.Which of the following statements is true?

Accepted Answer

A)  Manufacturing overhead applied to Work in Process for the month was $69,000.
B)  Manufacturing overhead for the month was underapplied by $16,000.
C)  Manufacturing overhead transferred from Finished Goods to Cost of Goods Sold during the month was $53,000.
D)  Actual manufacturing overhead incurred during the month was $69,000.E) A) and B)
F) A) and C)

Question 10

The journal entry to record the allocation of any underapplied or overapplied manufacturing overhead for June would include the following:

Accepted Answer

A)  credit to Work in Process of $21,450
B)  credit to Work in Process of $70
C)  debit to Work in Process of $21,450
D)  dedit to Work in Process of $70E) B) and D)
F) A) and B)

Question 11

The total amount of manufacturing overhead actually incurred was:

Accepted Answer

A)  $200,000
B)  $284,000
C)  $219,000
D)  $242,000E) C) and D)
F) B) and D)

Question 12

Brendal Corporation is a manufacturer that uses job-order costing.The company has supplied the following data for the just completed year:  Results of operations:  How much is the total manufacturing cost added to Work in Process during the year?

Accepted Answer

A)  $1,215,000
B)  $1,803,000
C)  $1,498,500
D)  $2,023,500E) A) and C)
F) All of the above

Question 13

When manufacturing overhead is applied to production, it is added to:

Accepted Answer

A)  the Cost of Goods Sold account.
B)  the Raw Materials account.
C)  the Work in Process account.
D)  the Finished Goods inventory account.E) A) and D)
F) B) and D)

Question 14

The $10,000 balance in the T-account below represents overapplied manufacturing overhead for the period.

Accepted Answer

A) True 
 B)False

Question 15

The adjusted cost of goods sold that appears on the income statement for May is:

Accepted Answer

A)  $206,000
B)  $214,000
C)  $208,000
D)  $210,000E) B) and C)
F) None of the above

Question 16

The schedule of cost of goods manufactured contains three elements of product costs-direct materials, direct labor, and manufacturing overhead-and it summarizes the portions of those costs that remain in ending Work in Process inventory and that are transferred out of Work in Process into Finished Goods.

Accepted Answer

A) True 
 B)False

Question 17

The ending balance in the Raw Materials account is closest to:

Accepted Answer

A)  $22,000
B)  $5,000
C)  $74,000
D)  $27,000E) A) and B)
F) C) and D)

Question 18

The actual direct labor-hours worked during May totaled:

Accepted Answer

A)  2,800 hours
B)  3,500 hours
C)  3,300 hours
D)  3,600 hoursE) B) and D)
F) B) and C)

Question 19

Firebaugh Corporation is a manufacturer that uses job-order costing.The company has supplied the following data for the just completed year:  What is the journal entry to record raw materials used in production?

Accepted Answer

A)   
B)   
C)   
D)   E) B) and D)
F) B) and C)

Question 20

Two of the reasons why manufacturing overhead may be underapplied are: (1)the estimated total manufacturing overhead cost may have been too high; and (2)the estimated total amount of the allocation base may have been too low.

Accepted Answer

A) True 
 B)False

Exam 3: Job-Order Costing: Cost Flows and External Reporting

Firebaugh Corporation is a manufacturer that uses job-order costing.The company has supplied the following data for the just completed year: What is the journal entry to record raw materials used in production?

Correct Answer
verified

How much is the unadjusted cost of goods sold on the Schedule of Cost of Goods Sold?

Correct Answer
verified

The ending balance in the Raw Materials account is closest to:

Correct Answer
verified

Brendal Corporation is a manufacturer that uses job-order costing.The company has supplied the following data for the just completed year: Results of operations: How much is the total manufacturing cost added to Work in Process during the year?

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Two of the reasons why manufacturing overhead may be underapplied are: (1)the estimated total manufacturing overhead cost may have been too high; and (2)the estimated total amount of the allocation base may have been too low.

Correct Answer
verified

When manufacturing overhead is applied to production, it is added to:

Correct Answer
verified

The actual direct labor-hours worked during May totaled:

Correct Answer
verified

The adjusted cost of goods sold that appears on the income statement for May is:

Correct Answer
verified

The journal entry to record the allocation of any underapplied or overapplied manufacturing overhead for June would include the following:

Correct Answer
verified

How much is the adjusted cost of goods sold on the Schedule of Cost of Goods Sold?

Correct Answer
verified

Holmstrom Corporation has provided the following data concerning last month's operations. How much is the cost of goods available for sale on the Schedule of Cost of Goods Sold?

Correct Answer
verified

The total amount of manufacturing overhead actually incurred was:

Correct Answer
verified

The total amount of manufacturing overhead applied to production is:

Correct Answer
verified

Refer to the T-account below: The ending balance of $8,000 represents which of the following?

Correct Answer
verified

The direct materials cost was:

Correct Answer
verified

The $10,000 balance in the T-account below represents overapplied manufacturing overhead for the period.

Correct Answer
verified

If the applied manufacturing overhead was $223,900, the actual manufacturing overhead cost for the year was:

Correct Answer
verified

Correct Answer
verified

Exam 3: Job-Order Costing: Cost Flows and External Reporting

Firebaugh Corporation is a manufacturer that uses job-order costing.The company has supplied the following data for the just completed year: What is the journal entry to record raw materials used in production?

Correct AnswerverifiedShow Answer

How much is the unadjusted cost of goods sold on the Schedule of Cost of Goods Sold?

Correct AnswerverifiedShow Answer

The ending balance in the Raw Materials account is closest to:

Correct AnswerverifiedShow Answer

Brendal Corporation is a manufacturer that uses job-order costing.The company has supplied the following data for the just completed year: Results of operations: How much is the total manufacturing cost added to Work in Process during the year?

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

Two of the reasons why manufacturing overhead may be underapplied are: (1)the estimated total manufacturing overhead cost may have been too high; and (2)the estimated total amount of the allocation base may have been too low.

Correct AnswerverifiedShow Answer

When manufacturing overhead is applied to production, it is added to:

Correct AnswerverifiedShow Answer

The actual direct labor-hours worked during May totaled:

Correct AnswerverifiedShow Answer

The adjusted cost of goods sold that appears on the income statement for May is:

Correct AnswerverifiedShow Answer

The journal entry to record the allocation of any underapplied or overapplied manufacturing overhead for June would include the following:

Correct AnswerverifiedShow Answer

How much is the adjusted cost of goods sold on the Schedule of Cost of Goods Sold?

Correct AnswerverifiedShow Answer

Holmstrom Corporation has provided the following data concerning last month's operations. How much is the cost of goods available for sale on the Schedule of Cost of Goods Sold?

Correct AnswerverifiedShow Answer

The total amount of manufacturing overhead actually incurred was:

Correct AnswerverifiedShow Answer

The total amount of manufacturing overhead applied to production is:

Correct AnswerverifiedShow Answer

Refer to the T-account below: The ending balance of $8,000 represents which of the following?

Correct AnswerverifiedShow Answer

The direct materials cost was:

Correct AnswerverifiedShow Answer

The $10,000 balance in the T-account below represents overapplied manufacturing overhead for the period.

Correct AnswerverifiedShow Answer

If the applied manufacturing overhead was $223,900, the actual manufacturing overhead cost for the year was:

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

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