Explain the type of inventory in the manufacturing companies, service companies and merchandise companies . in your opinion whats difference between job order cost and cost processing

Q: Which of the following costing systems assigns actual costs of materials to inventory? a.normal…

A: A costing system is designed by a company to monitor the costs incurred by the company.

Q: What is the Finished Goods Inventory account generally described as? a. Costs strictly associated…

A: Inventory is the value of goods available with an entity. It can be in the form of raw material,…

Q: In a job order cost system, a credit to Work in Process Inventory will be accompanied by a debit to:…

A: The job order cost system is used to calculate the cost involved in the specific jobs.

Q: Explain in detail how a manufacturing company calculates Cost of Goods Manufactured and Cost of…

A: Manufacturing companies are those companies which are engaged in conversion of raw material into…

Q: Describe how the inventory accounts of a manufacturing company differ from the inventoryaccount of a…

A: The manufacturing company maintains three inventory accounts; these are raw material inventory…

Q: Explain how business activities and inventories for a manufacturing company, a merchandising…

A: Manufacturing company:   Manufacturing companies produce their own goods and sell it to the…

Q: A manufacturing company completed work on a job. The cost of the job is transferred into _________…

A: Job order costing is a technique of assigning manufacturing cost to an individual unit of output.…

Q: Companies that use a process-cost accounting system would establish a separate Work-in-Process…

A: Process cost accounting system: Process cost accounting system is a costing method which is used to…

Q: Describe how a job order cost system can be used for professional service businesses.

A:

Q: The cost accounting system that significantly reduced inventory-carrying costs is called:   JIT…

A: JIT System: A just-in-time (JIT) inventory system is a business approach that involves receiving…

Q: Describe how a large retailer such as Lowes would assign overhead costs to products.

A:

Q: In the income statement of a manufacturing company, what replaces purchases in the cost of goods…

A: It is pertinent to note that in trading business an entity buys goods from the one-party and sells…

Q: he purchase price per unit of inventory is relevant in the computation on EOQ. otal factory labor…

A: EOQ= square root of (2DS/H) ​D=Demand in units  (typically on an annual basis) S=Order cost (per…

Q: Work in Process inventory shows the cost of completed goods available for sale to customers. True…

A: We shall answer the first question since the exact question wasn't specified. Please resubmit a new…

Q: The cost of inventory reported on the balance sheet may include all the following except: Wages of…

A: Balance sheet is one of the statement of financial position which shows all assets, all liabilities…

Q: A manufacturing company completed work on a job. The cost of the job is transferred into _________…

A: On completion of job, the cost of goods manufactured must be transferred from work in process…

Q: The equivalent of finished goods inventory for a merchandising firm is referred to as a) inventory.…

A: Completed goods / Finished goods are the only type of inventory which is purchased or sold for…

Q: Which of the following are matters that are linked to personnel administration and have a bearing on…

A: Recruitment and selection process :- It is a part of personnel administration (human resource…

Q: In a job order cost system, a credit to Finished Goods will be accompanied by a debit to: * Cost of…

A:

Q: e in the Work-in-Process Inventory account equals:      the balance in the Finished Goods Inventory…

A: Work in Progress is referred to as the unfinished inventory that an organization possess and is…

Q: The equivalent of finished goods inventory for a merchandising firm is referred to as • a)…

A: Merchandising firm means a firm which only deals in sale and purchase of a commodity but do not…

Q: How does a manufacturing company calculate the cost of goods sold? How is this different from a…

A:

Q: Describe the relations among the income statement, the schedule of cost of goods manufactured, and a…

A:

Q: Explain Operating Cycle of a Typical Merchandising or Manufacturing Company.

A: Operating cycle: The operating cycle is the period of time which is required to meet the initial…

Q: Inventory for a manufacturer consists of raw materials, work in process, and finished goods.…

A: Inventory: Inventory refers to the raw materials, work-in process, and the finished goods products…

Q: In a manufacturing business, inventory that is ready for sale is called * O raw materials inventory.…

A: The inventory can be recorded as work in process, raw materials and finished goods in the…

Q: nder the job-cost system using periodic inventory system, issues of direct materials from warehouse…

A: Solution: Issue of materials to production results in debit to work in process and credit to…

Q: Which one of the following appear on the balance sheet of a manufacturing company? Finished goods…

A: The balance sheet is a financial statement of the business which shows the financial position of the…

Q: Which one of the following does not appear on the balance sheet of a manufacturing company Finished…

A: Cost Accounting: It is the process of collecting, recording, analyzing the cost, summarizing cost,…

Q: Manufacturing firms use which of the following three inventory accounts?   A. Materials,…

A: SOLUTION- MANUFACTURING FIRM  IS ANY FIRM THAT USES RAW MATERIAL , PARTS AND COMPONENT TO ASSEMBLE…

Q: Which of the following is the main objectives of cost accounting? a. Maintenance of machinery b.…

A: Cost accounting means where every cost of doing business is recorded in necessary account and cost…

Q: Explain the flow of manufacturing costs through the inventories and into cost of goods sold.

A: Cost of goods sold:   It refers to the direct cost associated with producing the goods sold by a…

Q: Recording the cost of raw materials purchased for use in a process costing system includes a,

A: In process costing system, product has to go through several processes to become finished product.

Q: Companies that use a process-cost accounting system would establish a separate Work-in-Process…

A: Cost Accounting: It is the process of collecting, recording, analyzing the cost, summarizing cost,…

Q: Cost that arises during manufacturing maybe classified according to element, nature, function or…

A: Lets understand the basics. On the basis of nature, cost is divided into two types. (1) Direct cost…

Q: The entry to record the cost of goods completed would include: a. credit to Finished Goods Inventory…

A: All the expenses are debited to WIP a/c and the Cost of goods of completed during the year are…

Q: When a manufacturing company uses direct labor, it assigns the cost by debiting Work-in-Process…

A: Option a.

Q: What is journal entry once goods are completed and then sold? The subject is Managerial Accounting.

A: The costs incurred during the period are debited to Work in process. Completed goods are transferred…

Q: The income statement for a manufacturing company includes:   Indirect Labor, Factory Overhead, and…

A: Option c is correct. Because income statement shows cost if goods sold in expenses in the following…

Inventory Accounting

Inventory accounting is that branch of accounting that helps in determining the specific value of assets at different stages of production and development.