College Acct 2- Chapter 3

• Direct labor cost incurred in production.

• The cost of indirect materials incurred in production.

• Purchase of raw materials.

• The cost of goods manufactured transferred to Finished Goods.

In the Schedule of Cost of Goods Manufactured and Cost of Goods Sold, the cost of goods manufactured is computed according to which of the following equations?

• Cost of goods manufactured = Total manufacturing costs + Beginning finished goods inventory – Ending finished goods inventory

• Cost of goods manufactured = Total manufacturing costs + Beginning work in process inventory – Ending work in process inventory

• Cost of goods manufactured = Total manufacturing costs + Ending work in process inventory – Beginning work in process inventory

• Cost of goods manufactured = Total manufacturing costs + Ending finished goods inventory – Beginning finished goods inventory

In a job-order costing system, which account do you debit when you APPLY manufacturing overhead:

• Raw Materials inventory.

• Cost of Goods Sold.

• Work in Process inventory.

• Finished Goods inventory.

Manufacturing overhead for the period was:

• $73,000 Overapplied

• $7,000 Overapplied

• $73,000 Underapplied

• $7,000 Underapplied

Baylor Bears Corp.'s cost of goods manufactured for the just completed month was $150,000 and its overhead was underapplied by $3,000. The beginning finished goods inventory was $25,000 and the ending finished goods inventory was $35,000. The company closes out any underapplied or overapplied manufacturing overhead to cost of goods sold. How much was the adjusted cost of goods sold on the Schedule of Cost of Goods Sold?

• $146,000

• $137,000

• $181,000

• $143,000

In a job-order costing system, indirect materials are usually recorded as a debit to:

• Manufacturing Overhead.

• Cost of Goods Sold.

• Finished Goods.

• Work in Process.

Da Lobsta has provided the following data concerning last month's operations.

Direct Materials $54,000

Direct Labor $92,000

Manufacturing Overhead applied to WIP $80,000

Beginning WIP $66,000

Ending WIP $57,000

How much is the Cost of Goods Manufactured for the month on the Schedule of Cost of Goods Manufactured?

• $178,000

• $235,000

• $173,000

• $169,000

• Requisitions of raw materials to be used in production.

• Payments for raw materials.

• Purchases of raw materials.

• Overhead cost applied to Work in Process.

• Underapplied overhead.

• Overapplied overhead.

• A bookkeeping error.

• Manufacturing overhead that will be carried over to the next period.

In October, Hollander Inc. incurred $75,000 of direct labor costs and $7,500 of indirect labor costs. The journal entry to record the accrual of these wages would include a:

• debit to Manufacturing Overhead of $7,500

• credit to Manufacturing Overhead of $7,500

• credit to Work in Process of $82,500

• debit to Work in Process of $82,500