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WorksheetsBAC1054 Process Costing
Total questions: 15
Worksheet time: 4hrs 45mins
Process cost accounting focuses on the process involved in mass-producing products that are very similar in nature.
True
False
In a process cost system, total costs are determined at the end of a month or year.
True
False
Equivalent units of production are used to determine the cost per unit of completed products.
True
False
There are no units in process at the beginning of the period, 1,500 units in process at the end of the period that are 40% complete, and 15,000 units transferred out during the period. Based on this information, there were 14,400 equivalent units of production during the period.
True
False
One similarity of process cost accounting with job order cost accounting is that both determine total manufacturing costs after each job.
True
False
A process cost system would be used for all of the following products except
chemicals.
computer chips.
motion pictures.
soft drinks.
Differences between a job order cost system and a process cost system include all of the following except the
documents used to track costs.
point at which costs are totaled.
unit cost computations.
flow of costs.
Barnes and Miller Manufacturing is trying to determine the equivalent units for conversion costs with 10,000 units of ending work in process at 80% completion and 32,000 physical units. There are no beginning units in the department. Conversion costs occur evenly throughout the entire production period. What are the equivalent units for conversion costs for the current period?
42,000.
40,000.
8,000.
30,000.
Equivalent units are calculated by
multiplying the percentage of work done by the equivalent units of output.
dividing physical units by the percentage of work done.
multiplying the percentage of work done by the physical units.
dividing equivalent units by the percentage of work done.
Hanker Company had the following department data on physical units:
Work in process, beginning 3,000
Completed and transferred out 18,000
Work in process, ending 2,400
Materials are added at the beginning of the process. What is the total number of equivalent units for materials during the period?
18,600.
2,400.
20,400.
15,000.
In the Shaping Department of Rollins Company the unit materials cost is $5.00 and the unit conversion cost is $3.00. The department transferred out 40,000 units and had 5,000 units in ending work in process 20% complete. If all materials are added at the beginning of the process, the total cost to be assigned to the ending work in process is
$8,000.
$25,000.
$28,000.
$40,000.
Cinder Company had the following department information for the month:
Total materials costs $ 60,000
Equivalent units of materials 10,000
Total conversion costs $90,000
Equivalent units of conversion costs 20,000
How much is the total manufacturing cost per unit?
$10.50.
$5.00.
$4.50.
$6.00.
If 150,000 units are started into production there was no beginning work in process, and 50,000 units are in process at the end of the period, how many units were completed and transferred out?
150,000.
50,000.
100,000.
200,000.
In a process cost system, a production cost report is prepared
only for the first processing department.
for all departments in the aggregate.
for each processing department.
only for the last processing department.
The total costs accounted for in a production cost report equal the
cost of units completed and transferred out only.
cost of units started into production.
cost of units completed and transferred out plus the cost of ending work in process.
cost of beginning work in process plus the cost of units completed and transferred out.
