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Ecola Company uses a job order costing system.Manufacturing overhead is applied on the basis of direct labor cost.Total manufacturing overhead was estimated to be $120,000 for the year;direct labor was estimated to total $150,000. Ecola Company uses a job order costing system.Manufacturing overhead is applied on the basis of direct labor cost.Total manufacturing overhead was estimated to be $120,000 for the year;direct labor was estimated to total $150,000. The following transactions have occurred during the year. a.Calculate the predetermined overhead rate. b.Calculate cost of goods manufactured. c.Calculate the over or under-applied overhead. d.Calculate adjusted cost of goods sold. The following transactions have occurred during the year. Ecola Company uses a job order costing system.Manufacturing overhead is applied on the basis of direct labor cost.Total manufacturing overhead was estimated to be $120,000 for the year;direct labor was estimated to total $150,000. The following transactions have occurred during the year. a.Calculate the predetermined overhead rate. b.Calculate cost of goods manufactured. c.Calculate the over or under-applied overhead. d.Calculate adjusted cost of goods sold. a.Calculate the predetermined overhead rate. b.Calculate cost of goods manufactured. c.Calculate the over or under-applied overhead. d.Calculate adjusted cost of goods sold.

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a.80%
b.
Cost of goods manufactured comp...

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Indirect materials are recorded directly on the job cost sheet.

A) True
B) False

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The total manufacturing cost for a job includes the amount of applied overhead using the predetermined overhead rate.

A) True
B) False

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The Cost of Goods Manufactured Report includes all of the following except:


A) direct materials used.
B) direct labor.
C) actual manufacturing overhead.
D) applied manufacturing overhead.

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

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McGown Corp.has the following information: McGown Corp.has the following information: Additional information for the year is as follows: Compute the direct materials used in production. A) $20,000 B) $30,000 C) $110,000 D) $90,000 Additional information for the year is as follows: McGown Corp.has the following information: Additional information for the year is as follows: Compute the direct materials used in production. A) $20,000 B) $30,000 C) $110,000 D) $90,000 Compute the direct materials used in production.


A) $20,000
B) $30,000
C) $110,000
D) $90,000

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

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If materials being placed into production are not traced to a specific job,debit:


A) Raw Materials Inventory.
B) Work in Process Inventory.
C) Manufacturing Overhead.
D) Cost of Goods Sold.

E) C) and D)
F) None of the above

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Curtis Inc.uses a job order costing system.Manufacturing overhead is applied on the basis of direct labor cost.Total manufacturing overhead was estimated to be $75,000 for the year;direct labor was estimated to total $150,000. Curtis Inc.uses a job order costing system.Manufacturing overhead is applied on the basis of direct labor cost.Total manufacturing overhead was estimated to be $75,000 for the year;direct labor was estimated to total $150,000. The following transactions have occurred during the year. a.Calculate the predetermined overhead rate. b.Calculate cost of goods manufactured. c.Calculate the over- or underapplied overhead. d.Calculate adjusted cost of goods sold. The following transactions have occurred during the year. Curtis Inc.uses a job order costing system.Manufacturing overhead is applied on the basis of direct labor cost.Total manufacturing overhead was estimated to be $75,000 for the year;direct labor was estimated to total $150,000. The following transactions have occurred during the year. a.Calculate the predetermined overhead rate. b.Calculate cost of goods manufactured. c.Calculate the over- or underapplied overhead. d.Calculate adjusted cost of goods sold. a.Calculate the predetermined overhead rate. b.Calculate cost of goods manufactured. c.Calculate the over- or underapplied overhead. d.Calculate adjusted cost of goods sold.

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a.50%
b.
Cost of goods manufactured comp...

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When manufacturing overhead is applied to production,which of the following accounts is credited?


A) Raw Materials Inventory
B) Work in Process Inventory
C) Finished Goods Inventory
D) Manufacturing Overhead

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

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Which of the following would be used to record the labor cost that is traceable to a specific job?


A) Raw Materials Inventory would be debited.
B) Work in Process Inventory would be debited.
C) Manufacturing Overhead would be debited.
D) Manufacturing Overhead would be credited.

E) A) and B)
F) None of the above

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When direct materials are used in production (as noted by a materials requisition form) ,which of the following accounts is credited?


A) Raw Materials Inventory
B) Work in Process Inventory
C) Finished Goods Inventory
D) Cost of Goods Sold

E) C) and D)
F) None of the above

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Overhead costs are overapplied if the amount applied to Work in Process is:


A) greater than estimated overhead.
B) less than estimated overhead.
C) greater than actual overhead incurred.
D) less than actual overhead incurred.

E) All of the above
F) B) and D)

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McGown Corp.has the following information: McGown Corp.has the following information: Additional information for the year is as follows: Compute the cost of goods manufactured. A) $248,000 B) $242,000 C) $265,000 D) $235,000 Additional information for the year is as follows: McGown Corp.has the following information: Additional information for the year is as follows: Compute the cost of goods manufactured. A) $248,000 B) $242,000 C) $265,000 D) $235,000 Compute the cost of goods manufactured.


A) $248,000
B) $242,000
C) $265,000
D) $235,000

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

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Russo Cabinets is a custom cabinet builder.They recently completed a set of kitchen cabinets (Job Number 1887),as summarized below: Russo Cabinets is a custom cabinet builder.They recently completed a set of kitchen cabinets (Job Number 1887),as summarized below: Russo applies overhead to jobs at a rate of $18 per direct labor hour. a.How much overhead would be applied to Job #1887? b.What is the total cost of Job #1887? Russo applies overhead to jobs at a rate of $18 per direct labor hour. a.How much overhead would be applied to Job #1887? b.What is the total cost of Job #1887?

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a.$1,116
b.$3,988
To apply manufacturing...

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Cost of goods manufactured is the amount of cost transferred:


A) out of Finished Goods Inventory and into Cost of Goods Sold.
B) out of Finished Goods Inventory and into Work in Process Inventory.
C) out of Work in Process Inventory and into Manufacturing Overhead.
D) out of Work in Process Inventory and into Finished Goods Inventory.

E) A) and B)
F) None of the above

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When disposed of,overapplied manufacturing overhead will:


A) increase Cost of Goods Sold.
B) increase Finished Goods.
C) decrease Cost of Goods Sold.
D) decrease Finished Goods.

E) A) and B)
F) All of the above

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Barone Inc.uses a job order costing system with manufacturing overhead applied to products at a rate of 100% of direct labor cost.Treating each case independently,find the missing amounts for a through l: Barone Inc.uses a job order costing system with manufacturing overhead applied to products at a rate of 100% of direct labor cost.Treating each case independently,find the missing amounts for a through l:

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blured image Direct materials + Direct labor + Manuf...

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Which of the following statements is correct?


A) Companies must choose to use either job order costing or process costing;there is no overlap between the two systems.
B) Companies always use job order costing unless it is prohibitively expensive.
C) Companies always use process costing unless it is prohibitively expensive.
D) Companies often provide products and services that have both common and unique characteristics,so they may use a blend of job order and process costing.

E) B) and C)
F) None of the above

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A predetermined overhead rate is calculated by dividing:


A) actual manufacturing overhead cost by estimated total cost driver.
B) estimated total cost driver by estimated manufacturing overhead cost.
C) estimated manufacturing overhead cost by actual total cost driver.
D) estimated manufacturing overhead cost by estimated total cost driver.

E) None of the above
F) A) and D)

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When units are sold,the cost associated with the units is credited to which account?


A) Raw Materials Inventory
B) Work in Process Inventory
C) Finished Goods Inventory
D) Cost of Goods Sold

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

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Blueberry Corp.uses a job order costing system with manufacturing overhead applied to products on the basis of machine hours.For the upcoming year,Blueberry Corp.estimated total manufacturing overhead cost at $270,000 and total machine hours of 45,000.During the year actual manufacturing overhead incurred was $258,750 and 46,600 machine hours were used. a.Calculate the predetermined overhead rate. b.Calculate how much manufacturing overhead will be applied to production. c.Is overhead over- or underapplied? By how much? d.What account should be adjusted for over- or underapplied overhead? Should the balance be increased or decreased?

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a.$6
b.$279,600
c.$20,850 Over-applied
d...

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