Filters
Question type
Study Flashcards

A job cost sheet is used to record how much a customer pays for the job once the job is completed.

A) True
B) False

Correct Answer

verifed

verified

If the allocation base in the predetermined overhead rate does not drive overhead costs, it will nevertheless provide reasonably accurate unit product costs because of the averaging process.

A) True
B) False

Correct Answer

verifed

verified

The following data have been recorded for recently completed Job 450 on its job cost sheet. Direct materials cost was $3,044. A total of 46 direct labor-hours and 104 machine-hours were worked on the job. The direct labor wage rate is $15 per labor-hour. The Corporation applies manufacturing overhead on the basis of machine-hours. The predetermined overhead rate is $13 per machine-hour. The total cost for the job on its job cost sheet would be:


A) $4,332
B) $3,734
C) $3,072
D) $5,086

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

Correct Answer

verifed

verified

Dallman Corporation uses a job-order costing system with a single plantwide predetermined overhead rate based on machine-hours. The company based its predetermined overhead rate for the current year on 70,000 machine-hours, total fixed manufacturing overhead cost of $287,000, and a variable manufacturing overhead rate of $3.50 per machine-hour.Required:a. Calculate the estimated total manufacturing overhead for the year.b. Calculate the predetermined overhead rate for the year.

Correct Answer

verifed

verified

a. Estimated total manufacturing overhea...

View Answer

Weakley Corporation uses a predetermined overhead rate that was based on estimated total fixed manufacturing overhead of $358,000 and 20,000 machine-hours for the period. The company incurred actual total fixed manufacturing overhead of $382,000 and 18,300 total machine-hours during the period.Required:Determine the amount of manufacturing overhead that would have been applied to all jobs during the period.

Correct Answer

verifed

verified

The management of Plitt Corporation would like to investigate the possibility of basing its predetermined overhead rate on activity at capacity. The company's controller has provided an example to illustrate how this new system would work. In this example, the allocation base is machine-hours and the estimated amount of the allocation base for the upcoming year is 60,000 machine-hours. Capacity is 80,000 machine-hours and the actual level of activity for the year is assumed to be 65,000 machine-hours. All of the manufacturing overhead is fixed and both the estimated amount at the beginning of the year and the actual amount at the end of the year are assumed to be $662,400 per year. It is assumed that a number of jobs were worked on during the year, one of which was Job Q20L which required 310 machine-hours. If the company bases its predetermined overhead rate on the estimated amount of the allocation base for the upcoming year, then the predetermined overhead rate is closest to:


A) $10.19 per machine-hour
B) $7.64 per machine-hour
C) $11.04 per machine-hour
D) $8.28 per machine-hour

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

Correct Answer

verifed

verified

Lupo Corporation uses a job-order costing system with a single plantwide predetermined overhead rate based on machine-hours. The company based its predetermined overhead rate for the current year on the following data: Lupo Corporation uses a job-order costing system with a single plantwide predetermined overhead rate based on machine-hours. The company based its predetermined overhead rate for the current year on the following data: Recently, Job T687 was completed with the following characteristics: The amount of overhead applied to Job T687 is closest to: (Round your intermediate calculations to 2 decimal places.) A) $380.00 B) $425.60 C) $466.00 D) $76.00 Recently, Job T687 was completed with the following characteristics: Lupo Corporation uses a job-order costing system with a single plantwide predetermined overhead rate based on machine-hours. The company based its predetermined overhead rate for the current year on the following data: Recently, Job T687 was completed with the following characteristics: The amount of overhead applied to Job T687 is closest to: (Round your intermediate calculations to 2 decimal places.) A) $380.00 B) $425.60 C) $466.00 D) $76.00 The amount of overhead applied to Job T687 is closest to: (Round your intermediate calculations to 2 decimal places.)


A) $380.00
B) $425.60
C) $466.00
D) $76.00

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

Correct Answer

verifed

verified

Petty Corporation has two production departments, Milling and Finishing. The company uses a job-order costing system and computes a predetermined overhead rate in each production department. The Milling Department's predetermined overhead rate is based on machine-hours and the Finishing Department's predetermined overhead rate is based on direct labor-hours. At the beginning of the current year, the company had made the following estimates: Petty Corporation has two production departments, Milling and Finishing. The company uses a job-order costing system and computes a predetermined overhead rate in each production department. The Milling Department's predetermined overhead rate is based on machine-hours and the Finishing Department's predetermined overhead rate is based on direct labor-hours. At the beginning of the current year, the company had made the following estimates: The estimated total manufacturing overhead for the Milling Department is closest to: A) $408,000 B) $38,000 C) $148,000 D) $186,000 The estimated total manufacturing overhead for the Milling Department is closest to:


A) $408,000
B) $38,000
C) $148,000
D) $186,000

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

Correct Answer

verifed

verified

Ahlheim Corporation has two production departments, Forming and Assembly. The company uses a job-order costing system and computes a predetermined overhead rate in each production department. The Forming Department's predetermined overhead rate is based on machine-hours and the Assembly Department's predetermined overhead rate is based on direct labor-hours. At the beginning of the current year, the company had made the following estimates: Ahlheim Corporation has two production departments, Forming and Assembly. The company uses a job-order costing system and computes a predetermined overhead rate in each production department. The Forming Department's predetermined overhead rate is based on machine-hours and the Assembly Department's predetermined overhead rate is based on direct labor-hours. At the beginning of the current year, the company had made the following estimates: During the current month the company started and finished Job T924. The following data were recorded for this job: The estimated total manufacturing overhead for the Forming Department is closest to: A) $36,800 B) $102,400 C) $309,867 D) $139,200 During the current month the company started and finished Job T924. The following data were recorded for this job: Ahlheim Corporation has two production departments, Forming and Assembly. The company uses a job-order costing system and computes a predetermined overhead rate in each production department. The Forming Department's predetermined overhead rate is based on machine-hours and the Assembly Department's predetermined overhead rate is based on direct labor-hours. At the beginning of the current year, the company had made the following estimates: During the current month the company started and finished Job T924. The following data were recorded for this job: The estimated total manufacturing overhead for the Forming Department is closest to: A) $36,800 B) $102,400 C) $309,867 D) $139,200 The estimated total manufacturing overhead for the Forming Department is closest to:


A) $36,800
B) $102,400
C) $309,867
D) $139,200

E) None of the above
F) All of the above

Correct Answer

verifed

verified

Levron Corporation uses a job-order costing system with a single plantwide predetermined overhead rate based on machine-hours. The company based its predetermined overhead rate for the current year on total fixed manufacturing overhead cost of $58,000, variable manufacturing overhead of $2.00 per machine-hour, and 20,000 machine-hours. The company has provided the following data concerning Job P978 which was recently completed: Levron Corporation uses a job-order costing system with a single plantwide predetermined overhead rate based on machine-hours. The company based its predetermined overhead rate for the current year on total fixed manufacturing overhead cost of $58,000, variable manufacturing overhead of $2.00 per machine-hour, and 20,000 machine-hours. The company has provided the following data concerning Job P978 which was recently completed: If the company marks up its unit product costs by 30% then the selling price for a unit in Job P978 is closest to: (Round your intermediate calculations to 2 decimal places.) A) $249.58 B) $229.58 C) $204.10 D) $52.98 If the company marks up its unit product costs by 30% then the selling price for a unit in Job P978 is closest to: (Round your intermediate calculations to 2 decimal places.)


A) $249.58
B) $229.58
C) $204.10
D) $52.98

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

Correct Answer

verifed

verified

The management of Plitt Corporation would like to investigate the possibility of basing its predetermined overhead rate on activity at capacity. The company's controller has provided an example to illustrate how this new system would work. In this example, the allocation base is machine-hours and the estimated amount of the allocation base for the upcoming year is 69,000 machine-hours. Capacity is 92,000 machine-hours and the actual level of activity for the year is assumed to be 75,000 machine-hours. All of the manufacturing overhead is fixed and both the estimated amount at the beginning of the year and the actual amount at the end of the year are assumed to be $772,800 per year. It is assumed that a number of jobs were worked on during the year, one of which was Job Q20L which required 380 machine-hours.If the company bases its predetermined overhead rate on capacity, what would be the cost of unused capacity reported on the income statement prepared for internal management purposes?


A) $193,200
B) $67,200
C) $61,824
D) $142,800

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

Correct Answer

verifed

verified

Doakes Corporation uses a job-order costing system with a single plantwide predetermined overhead rate based on direct labor-hours. The company based its predetermined overhead rate for the current year on the following data: Doakes Corporation uses a job-order costing system with a single plantwide predetermined overhead rate based on direct labor-hours. The company based its predetermined overhead rate for the current year on the following data: Recently, Job M843 was completed with the following characteristics: The unit product cost for Job M843 is closest to: (Round your intermediate calculations to 2 decimal places.) A) $33.75 B) $67.50 C) $27.50 D) $50.50 Recently, Job M843 was completed with the following characteristics: Doakes Corporation uses a job-order costing system with a single plantwide predetermined overhead rate based on direct labor-hours. The company based its predetermined overhead rate for the current year on the following data: Recently, Job M843 was completed with the following characteristics: The unit product cost for Job M843 is closest to: (Round your intermediate calculations to 2 decimal places.) A) $33.75 B) $67.50 C) $27.50 D) $50.50 The unit product cost for Job M843 is closest to: (Round your intermediate calculations to 2 decimal places.)


A) $33.75
B) $67.50
C) $27.50
D) $50.50

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

Correct Answer

verifed

verified

Jurica Corporation has two production departments, Forming and Customizing. The company uses a job-order costing system and computes a predetermined overhead rate in each production department. The Forming Department's predetermined overhead rate is based on machine-hours and the Customizing Department's predetermined overhead rate is based on direct labor-hours. At the beginning of the current year, the company had made the following estimates: Jurica Corporation has two production departments, Forming and Customizing. The company uses a job-order costing system and computes a predetermined overhead rate in each production department. The Forming Department's predetermined overhead rate is based on machine-hours and the Customizing Department's predetermined overhead rate is based on direct labor-hours. At the beginning of the current year, the company had made the following estimates: The predetermined overhead rate for the Forming Department is closest to: A) $23.12 per machine-hour B) $2.00 per machine-hour C) $5.30 per machine-hour D) $7.30 per machine-hour The predetermined overhead rate for the Forming Department is closest to:


A) $23.12 per machine-hour
B) $2.00 per machine-hour
C) $5.30 per machine-hour
D) $7.30 per machine-hour

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

Correct Answer

verifed

verified

Dehner Corporation uses a job-order costing system with a single plantwide predetermined overhead rate based on direct labor-hours. The company based its predetermined overhead rate for the current year on the following data: Dehner Corporation uses a job-order costing system with a single plantwide predetermined overhead rate based on direct labor-hours. The company based its predetermined overhead rate for the current year on the following data: Recently, Job P951 was completed with the following characteristics: The predetermined overhead rate is closest to: A) $2.40 per direct labor-hour B) $3.00 per direct labor-hour C) $8.40 per direct labor-hour D) $5.40 per direct labor-hour Recently, Job P951 was completed with the following characteristics: Dehner Corporation uses a job-order costing system with a single plantwide predetermined overhead rate based on direct labor-hours. The company based its predetermined overhead rate for the current year on the following data: Recently, Job P951 was completed with the following characteristics: The predetermined overhead rate is closest to: A) $2.40 per direct labor-hour B) $3.00 per direct labor-hour C) $8.40 per direct labor-hour D) $5.40 per direct labor-hour The predetermined overhead rate is closest to:


A) $2.40 per direct labor-hour
B) $3.00 per direct labor-hour
C) $8.40 per direct labor-hour
D) $5.40 per direct labor-hour

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

Correct Answer

verifed

verified

Traeger Woodworking Corporation produces fine cabinets. The company uses a job-order costing system in which its predetermined overhead rate is based on capacity. The capacity of the factory is determined by the capacity of its constraint, which is an automated bandsaw. Additional information is provided below for the most recent month: Traeger Woodworking Corporation produces fine cabinets. The company uses a job-order costing system in which its predetermined overhead rate is based on capacity. The capacity of the factory is determined by the capacity of its constraint, which is an automated bandsaw. Additional information is provided below for the most recent month: The cost of unused capacity that would be reported as a period expense on the income statement prepared for internal management purposes would be closest to: A) $1,924 B) $18,136 C) $0 D) $18,765 The cost of unused capacity that would be reported as a period expense on the income statement prepared for internal management purposes would be closest to:


A) $1,924
B) $18,136
C) $0
D) $18,765

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

Correct Answer

verifed

verified

Eisentrout Corporation has two production departments, Machining and Customizing. The company uses a job-order costing system and computes a predetermined overhead rate in each production department. The Machining Department's predetermined overhead rate is based on machine-hours and the Customizing Department's predetermined overhead rate is based on direct labor-hours. At the beginning of the current year, the company had made the following estimates: Eisentrout Corporation has two production departments, Machining and Customizing. The company uses a job-order costing system and computes a predetermined overhead rate in each production department. The Machining Department's predetermined overhead rate is based on machine-hours and the Customizing Department's predetermined overhead rate is based on direct labor-hours. At the beginning of the current year, the company had made the following estimates: During the current month the company started and finished Job T272. The following data were recorded for this job: The amount of overhead applied in the Customizing Department to Job T272 is closest to: (Round your intermediate calculations to 2 decimal places.) A) $76,200.00 B) $762.00 C) $564.00 D) $198.00 During the current month the company started and finished Job T272. The following data were recorded for this job: Eisentrout Corporation has two production departments, Machining and Customizing. The company uses a job-order costing system and computes a predetermined overhead rate in each production department. The Machining Department's predetermined overhead rate is based on machine-hours and the Customizing Department's predetermined overhead rate is based on direct labor-hours. At the beginning of the current year, the company had made the following estimates: During the current month the company started and finished Job T272. The following data were recorded for this job: The amount of overhead applied in the Customizing Department to Job T272 is closest to: (Round your intermediate calculations to 2 decimal places.) A) $76,200.00 B) $762.00 C) $564.00 D) $198.00 The amount of overhead applied in the Customizing Department to Job T272 is closest to: (Round your intermediate calculations to 2 decimal places.)


A) $76,200.00
B) $762.00
C) $564.00
D) $198.00

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

Correct Answer

verifed

verified

Decorte Corporation uses a job-order costing system with a single plantwide predetermined overhead rate based on direct labor-hours. The company based its predetermined overhead rate for the current year on the following data: Decorte Corporation uses a job-order costing system with a single plantwide predetermined overhead rate based on direct labor-hours. The company based its predetermined overhead rate for the current year on the following data: Recently, Job K332 was completed with the following characteristics: The unit product cost for Job K332 is closest to: (Round your intermediate calculations to 2 decimal places.) A) $94.10 B) $18.10 C) $82.50 D) $47.05 Recently, Job K332 was completed with the following characteristics: Decorte Corporation uses a job-order costing system with a single plantwide predetermined overhead rate based on direct labor-hours. The company based its predetermined overhead rate for the current year on the following data: Recently, Job K332 was completed with the following characteristics: The unit product cost for Job K332 is closest to: (Round your intermediate calculations to 2 decimal places.) A) $94.10 B) $18.10 C) $82.50 D) $47.05 The unit product cost for Job K332 is closest to: (Round your intermediate calculations to 2 decimal places.)


A) $94.10
B) $18.10
C) $82.50
D) $47.05

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

Correct Answer

verifed

verified

Danaher Woodworking Corporation produces fine furniture. The company uses a job-order costing system in which its predetermined overhead rate is based on capacity. The capacity of the factory is determined by the capacity of its constraint, which is an automated lathe. Additional information is provided below for the most recent month: Danaher Woodworking Corporation produces fine furniture. The company uses a job-order costing system in which its predetermined overhead rate is based on capacity. The capacity of the factory is determined by the capacity of its constraint, which is an automated lathe. Additional information is provided below for the most recent month: Required:a. Calculate the predetermined overhead rate based on capacity.b. Calculate the manufacturing overhead applied.c. Calculate the cost of unused capacity. Required:a. Calculate the predetermined overhead rate based on capacity.b. Calculate the manufacturing overhead applied.c. Calculate the cost of unused capacity.

Correct Answer

verifed

verified

a.
blured image b. Manufacturing overhead...

View Answer

Deloria Corporation has two production departments, Forming and Assembly. The company uses a job-order costing system and computes a predetermined overhead rate in each production department. The Forming Department's predetermined overhead rate is based on machine-hours and the Assembly Department's predetermined overhead rate is based on direct labor-hours. At the beginning of the current year, the company had made the following estimates: Deloria Corporation has two production departments, Forming and Assembly. The company uses a job-order costing system and computes a predetermined overhead rate in each production department. The Forming Department's predetermined overhead rate is based on machine-hours and the Assembly Department's predetermined overhead rate is based on direct labor-hours. At the beginning of the current year, the company had made the following estimates: During the current month the company started and finished Job T288. The following data were recorded for this job: The total amount of overhead applied in both departments to Job T288 is closest to: (Round your intermediate calculations to 2 decimal places.) A) $508 B) $672 C) $1,688 D) $1,180 During the current month the company started and finished Job T288. The following data were recorded for this job: Deloria Corporation has two production departments, Forming and Assembly. The company uses a job-order costing system and computes a predetermined overhead rate in each production department. The Forming Department's predetermined overhead rate is based on machine-hours and the Assembly Department's predetermined overhead rate is based on direct labor-hours. At the beginning of the current year, the company had made the following estimates: During the current month the company started and finished Job T288. The following data were recorded for this job: The total amount of overhead applied in both departments to Job T288 is closest to: (Round your intermediate calculations to 2 decimal places.) A) $508 B) $672 C) $1,688 D) $1,180 The total amount of overhead applied in both departments to Job T288 is closest to: (Round your intermediate calculations to 2 decimal places.)


A) $508
B) $672
C) $1,688
D) $1,180

E) None of the above
F) All of the above

Correct Answer

verifed

verified

Branin Corporation uses a job-order costing system with a single plantwide predetermined overhead rate based on direct labor-hours. The company based its predetermined overhead rate for the current year on total fixed manufacturing overhead cost of $160,000, variable manufacturing overhead of $3.40 per direct labor-hour, and 80,000 direct labor-hours. The company has provided the following data concerning Job A578 which was recently completed: Branin Corporation uses a job-order costing system with a single plantwide predetermined overhead rate based on direct labor-hours. The company based its predetermined overhead rate for the current year on total fixed manufacturing overhead cost of $160,000, variable manufacturing overhead of $3.40 per direct labor-hour, and 80,000 direct labor-hours. The company has provided the following data concerning Job A578 which was recently completed: The total job cost for Job A578 is closest to: (Round your intermediate calculations to 2 decimal places.) A) $11,065 B) $10,350 C) $2,065 D) $9,715 The total job cost for Job A578 is closest to: (Round your intermediate calculations to 2 decimal places.)


A) $11,065
B) $10,350
C) $2,065
D) $9,715

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

Correct Answer

verifed

verified

Showing 361 - 380 of 408

Related Exams

Exam 1

Managerial Accounting and Cost Concepts

346 Questions

Exam 3

Job-Order Costing: Cost Flows and External Reporting

314 Questions

Exam 4

Process Costing

365 Questions

Exam 5

Cost-Volume-Profit Relationships

396 Questions

Exam 6

Variable Costing and Segment Reporting: Tools for Management

392 Questions

Exam 7

Activity-Based Costing: a Tool to Aid Decision Making

382 Questions

Exam 8

Master Budgeting

284 Questions

Exam 9

Flexible Budgets and Performance Analysis

491 Questions

Exam 10

Standard Costs and Variances

469 Questions

Exam 11

Responsibility Accounting Systems

335 Questions

Exam 12

Strategic Performance Measurement

153 Questions

Exam 13

Differential Analysis: the Key to Decision Making

432 Questions

Exam 14

Capital Budgeting Decisions

405 Questions

Exam 15

Statement of Cash Flows

221 Questions

Exam 16

Financial Statement Analysis

327 Questions

Show Answer