Chapter 003, Systems Design: Job-Order Costing

| October 3, 2018

127. The cost of goods sold during February was:

A. $5,100

B. $3,000

C. $12,120

D. $8,120

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Chapter 003, Systems Design: Job-Order Costing

Eccles Corporation uses a
job-order costing system and applies overhead to jobs using a predetermined
overhead rate. During the year the company’s Finished Goods inventory account
was debited for $384,000 and credited for $325,900. The ending balance in the
Finished Goods inventory account was $72,100. At the end of the year,
manufacturing overhead was underapplied by $5,400.

128. The balance in the Finished Goods inventory account at the
beginning of the year was: A. $72,100
B. $5,400 C. $14,000 D.
$58,100

129. If the applied manufacturing overhead was $174,000, the actual
manufacturing overhead cost for the year was:
A. $193,400 B. $251,500 C. $179,400 D. $168,600

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Chapter 003, Systems Design: Job-Order Costing

The
following partially completed T-accounts summarize transactions for Faas
Company during the year:

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130. The Cost of Goods Manufactured was: A. $22,900
B. $22,700 C. $8,200 D. $45,600

131. The direct labor cost was:

A. $8,000

B. $12,100

C. $17,200

D. $11,600

132. The direct materials cost was:

A. $3,600
B. $6,600

C. $5,000

D. $8,000

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Chapter 003, Systems Design: Job-Order Costing

133. The manufacturing overhead applied was: A. $4,100
B. $3,300 C. $15,400 D.
$9,100

134. The manufacturing overhead was:

A. $3,300 overapplied
B. $3,300 underapplied

C. $100 overapplied

D. $100 underapplied

Sanker Inc. has provided the
following data for the month of August. There were no beginning inventories;
consequently, the direct materials, direct labor, and manufacturing overhead
applied listed below are all for the current month.

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Manufacturing overhead for the month was overapplied by $5,000.

The company allocates any
underapplied or overapplied overhead among work in process, finished goods, and
cost of goods sold at the end of the month on the basis of the overhead applied
during the month in those accounts.

135. The work in process
inventory at the end of August after allocation of any underapplied or
overapplied overhead for the month is closest to:

A. $18,593

B. $18,780

C. $17,080

D. $17,267

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Chapter 003, Systems Design: Job-Order Costing

136. The journal entry to record the allocation of any
underapplied or overapplied overhead for August would include the following:
A. debit to Finished Goods of $34,880
B. debit to Finished Goods of $1,250

C. credit to Finished Goods of $34,880

D. credit to Finished Goods of $1,250

Alvernaz Inc. has provided
the following data for the month of April. There were no beginning inventories;
consequently, the direct materials, direct labor, and manufacturing overhead
applied listed below are all for the current month.

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Manufacturing overhead for the month was overapplied by $2,000.

The company allocates any
underapplied or overapplied overhead among work in process, finished goods, and
cost of goods sold at the end of the month on the basis of the overhead applied
during the month in those accounts.

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