Chapter 003, Systems Design: Job-Order Costing

| October 3, 2018

77. Molano Corporation has provided the following data concerning
manufacturing overhead for June:

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The company’s Cost of Goods Sold was $255,000 prior to closing out
its Manufacturing Overhead account. The company closes out its Manufacturing
Overhead account to Cost of Goods Sold. Which of the following statements is
true?

A.
Manufacturing overhead was
underapplied by $7,000; Cost of Goods Sold after closing out the Manufacturing
Overhead account is $248,000
B. Manufacturing overhead was overapplied by $7,000; Cost of Goods
Sold after closing out the Manufacturing Overhead account is $248,000
C. Manufacturing overhead was underapplied by $7,000; Cost of Goods
Sold after closing out the Manufacturing Overhead account is $262,000
D. Manufacturing overhead was overapplied by $7,000; Cost of Goods
Sold after closing out the Manufacturing Overhead account is $262,000

Munos Publishing Company
uses a job-order costing system to collect costs related to the manufacture of
specialty publications for corporate training.

78. What journal entry would Munos make to record the application
of $1,200 of manufacturing overhead to Job KN672?
A..jpg”>

B..jpg”>

C..jpg”> D..jpg”>

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Chapter 003, Systems Design: Job-Order Costing

79. What journal entry would
Munos make to record the completion of Job KN668 at a total cost of $7,600?
A..jpg”>

B..jpg”>
C..jpg”> D..jpg”>

80. What journal entry would Munos make to record $9,500 of
depreciation on its printing presses?
A..jpg”>

B..jpg”>

C..jpg”> D..jpg”>

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Chapter 003, Systems Design: Job-Order Costing

Acer
Corporation, which applies manufacturing overhead on the basis of
machine-hours, has provided the following data for its most recent year of
operations.

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The estimates of the manufacturing overhead and of machine-hours
were made at the beginning of the year for the purpose of computing the
company’s predetermined overhead rate for the year.

81. The predetermined overhead rate is closest to: A. $49.23
B. $49.90 C. $49.78 D.
$50.45

82. The applied manufacturing overhead for the year is closest to: A.
$218,581
B. $221,023 C. $223,998 D.
$221,556

83. The overhead for the year was:

A. $2,994 underapplied
B. $2,444 overapplied

C. $2,444 underapplied

D. $2,994 overapplied

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Chapter 003, Systems Design: Job-Order Costing

Baken Corporation applies manufacturing overhead on the basis of
direct labor-hours. At the beginning of the most recent year, the company based
its predetermined overhead rate on total estimated overhead of $172,140 and
3,800 estimated direct labor-hours. Actual manufacturing overhead for the year
amounted to $171,000 and actual direct labor-hours were 3,880.

84. The predetermined overhead rate for the year was closest to: A. $45.00

B. $44.07 C. $46.25 D.
$45.30

85. The applied manufacturing overhead for the year was closest to: A.
$175,764
B. $174,600 C. $179,450 D.
$170,992

86. The overhead for the year was:

A. $4,764 overapplied

B. $3,624 underapplied

C. $4,764 underapplied

D. $3,624 overapplied

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