College Acct 2- Chapter 05

Front

Which journal entries record direct labor costs in a company with two processing departments (Department 1 and Department 2)? Options: Debit Work in Process; Credit Salaries & Wages Payable, Debit WIP- Department 1; Debit WIP- Department 2; Credit Salaries & Wages Payable, Debit Salaries & Wages Payable; Credit Work in Process, Debit Salaries & Wages Expense; Credit Salaries & Wages Payable

Back

Debit WIP- Department 1; Debit WIP- Department 2; Credit Salaries & Wages Payable

Front

In process costing, a separate work in process account is kept for each:

Back

processing department.

Front

How much conversion cost was assigned to the units transferred out of the Assembly Department during March if the cost per equivalent unit for conversion cost was $3.75?

Back

$208,125.00

Front

When computing the cost per equivalent unit, the weighted-average method of process costing considers:

Back

costs incurred during the current period plus cost of beginning work in process inventory.

Front

In which scenario is a process costing system most appropriate? Options: When multiple distinct products or jobs are produced each period. When a single, uniform product is manufactured continuously through the production process. When services are provided, such as in a consulting firm. When the variable costing method is used.

Back

When a single, uniform product is manufactured continuously through the production process.

Front

In the cost reconciliation report under the weighted-average method, the "Total cost accounted for" equals: Cost of beginning work in process inventory + Cost of units transferred in, Cost of ending work in process inventory + Cost added to production during the period, Cost of beginning work in process inventory + Cost of units transferred out, Cost of ending work in process inventory + Cost of units transferred out

Back

Cost of ending work in process inventory + Cost of units transferred out

Front

In February, one of the processing departments at Toyota Corporation had beginning work in process inventory of $30,000 and ending work in process inventory of $15,000. During the month, $320,000 of costs were added to production. In the department's cost reconciliation report for February, the cost of units transferred out of the department would be:

Back

$335,000

Front

How many units were transferred to the next processing department during the month if the Assembly Department started with 24,500 units, received an additional 309,500 units, and had 29,500 units in ending work in process inventory?

Back

304500

Front

In July, one of the processing departments at Okamura Corporation had beginning work in process inventory of $25,000 and ending work in process inventory of $30,000. During the month, the cost of units transferred out from the department was $160,000. What is the total cost to be accounted for under the weighted-average method?

Back

$190,000

Front

In June, one of the processing departments at Furbush Corporation had ending work in process inventory of $12,300. During the month, $407,000 of costs were added to production and the cost of units transferred out from the department was $429,000. In the department’s cost reconciliation report for January, the cost of beginning work in process inventory for the department would be:

Back

$34,300