Ch 15A Review

Which of the following would use job order costing? 

• The production of chips 

• The production of peanut butter 

• The refining of oil 

• Making a wedding cake 

What is the job cost sheet? 

• A form to figure out the total cost of manufacturing 

• A form used to record the costs chargeable to each job 

• A form used to track manufacturing costs 

• A form used to understand how direct costs are associated with a job 

After we accumulate the manufacturing costs (DM, DL, MOH), what is the next step? 

• Assign costs to Finished Goods 

• Add them all up 

• Assign costs to Work in Process 

• Determine the costs for each job 

If the annual estimated overhead is 100,000, and the annual estimated direct labor hours is 600,000…POH is? 

• 1.77 

• 0.167

• 0.6 

• 0.7 

Job 100 uses 5000 direct labor hours and the POH is 1.67…how much overhead should be assigned to job 100? 

• 8350 

• 8152 

• 2994 

• 2995 

What is the correct order for job order costing flow? 

• Assign manufacturing costs, accumulate WIP, assign FG, assign COGS 

• Assign COGS, assign FG, assign WIP 

• Accumulate manufacturing costs, assign WIP, assign FG, assign COGS 

• Assign WIP, assign FG, assign COGS 

What type of form do we use to record raw materials being used for WIP? 

• Time ticket 

• Materials requisition slip 

• Job cost sheet 

• Subsidiary ledger 

How do you assign Finished Goods from Work in Process (when you complete a good)? 

• Increase WIP, decrease FG 

• Increase manufacturing costs, decrease FG 

• Decrease manufacturing costs, increase WIP 

• Decrease WIP, increase FG 

What is applied overhead? 

• The depreciation of the factory, machine maintenance, maintenance salary 

• The actual manufacturing overhead cost 

• The total costs associated with manufacturing overhead 

• The overhead costs determined by the predetermined overhead rate 

When applied overhead < actual overhead… 

• Underapplied overhead 

• Overapplied overhead 

• Actual overhead 

• Remaining overhead