Indicate whether the accounts below are used in the cost flow for a manufacturer, a service provider, or both. Cost of Services   Cost of Goods Sold   Factory Overhead   Finished Goods   Materials   Overhead   Supplies   Wages Payable   Work in Process

Q: Explain in narrative form the flow of direct materials, direct labor, and factory overhead cost…

A: Direct material: Direct material cost indicates the purchase price of raw material that is used in…

Q: In a job-order costing system, indirect labor cost is usually recorded as a debit to: Work in…

A: Introduction:- Job order costing system mainly used by organizations providing services according to…

Q: The cost of a manufactured product (product cost) generally consists of which of the following?…

A: Product Cost - Product Cost is the cost incurred by the organization for the product of the entity.…

Q: Identify the journal entry for indirect material returns to stores. a. Dr.Material inventory,…

A: Solution:  The journal entry for indirect material returns to stores is as under: Dr.Material…

Q: Which of the following costs would be included on an income statement for both a merchandising…

A: Merchandising concern - This entity deals with buying and selling inventory from the supplier to the…

Q: If selling and administrative expenses are allocated to different products, they should be reported…

A: Period costs: These costs are not related to inventory, hence, they are not added to inventory…

Q: In a process costing system, manufacturing overhead applied is usually recorded as a debit to: 7. A.…

A: Finished goods comprises of the units completed and sold and the opening and closing inventories.…

Q: In a job-order costing system, manufacturing overhead applied is recorded as a debit to: Work in…

A:

Q: Direct Material Used Factory Overhead Prime Cost

A: Prime cost means the addition of direct material and direct labor and other direct expenses.…

Q: What is Journal entry actual manufacturing overhead costs and applied manufacturing overhead costs.…

A: Actual manufacturing overhead costs: Actual expense incurred includes salaries payable, supplies,…

Q: 1. In a job order cost system, indirect labor incurred is debited to which account? work in process…

A: Job order Costing:   Job order costing provides a separate record of each particular quantity of…

Q: QUESTION 4 Indicate whether each of the following costs incurred by a manufacture would be…

A: The cost to deliver finished product to customer It is a unit cost hence it is Product- MOH

Q: in a job-order costing system, the application (applied MOH) of manufacturing overhead would be…

A: The question is related to Job costing. Job costing methods which is applicable where the work…

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: When actual manufacturing overhead costs are incurred in a process cost system, they are debited to…

A: Applied manufacturing overhead cost is debited Work in process Account. Actual manufacturing…

Q: When goods are completed in the production process what is the journal entry a. Debit Manufacturing…

A: Process costing is one of the methods of costing used mainly in manufacturing industry where units…

Q: Total manufacturing cost includes: Select one: O a. direct labour and manufacturing overhead in both…

A: Answer - Correct Option is Option B - Direct Material, Direct Labour and Manufacturing Overhead in…

Q: a job order costing system, which account shows the overhead used by the company?   A) manufacturing…

A: In job order costing system costing is done based on different products so each product is…

Q: When a manufacturing company uses indirect materials, it accumulates the cost by debiting…

A: Definition: Manufacturing overhead costs: The cost which does not relate directly with the…

Q: Which of the following is a period cost     Administrative expenses     Factory utilities…

A: Period costs are those cost which cannot be assigned to the product.

Q: What is the journal entry to record the completion of a job and transfer that job into finished…

A: Finished Goods - Finished Goods is the final output of the company that will be sold to customers.…

Q: In a job order cost system, which account shows the overhead used by the company?A. work in process…

A: In job order costing system costing is done based on different products so each product is…

Q: Process costing: a. assigns direct materials cost, direct labor cost, and manufacturing overhead…

A: Process costing is a form of operations costing which is used where standardized homogeneous goods…

Q: Job order costing and process costing both: a. All the given answers are correct. b. both allocate…

A: Job cost accounting accumulates prices by individual jobs. Method cost accounting accumulates prices…

Q: In a job order cost system, indirect labor incurred is debited to which account?A. work in process…

A: Job order costing system is generally used by the entities who are involved in the production of…

Q: Choose one option for each letter that describes each of the six transactions the best A. Direct…

A: Choose one option for each letter to describe transactions as shown below:

Q: Which of the following is the correct flow of manufacturing costs? a.raw materials, finished goods,…

A: flow of Production process generally begins with raw material and converted to work in process then…

Q: In a process cost system, machinery depreciation expense incurred is debited to a. manufacturing…

A: Process costing is a part of cost analysis which is used by organizations that have more than 1…

Q: When manufacturing overhead is applied to production, it is added to A. the cost of goods sold…

A: In cost accounting, the cost sheet generally is a statement which consists of various costs incurred…

Q: Assigning indirect costs to specific jobs is completed by which of the following a. Applying the…

A: Indirect costs are those costs of material, labour and expenses, which are not directly related to…

Q: Job order costing and process costing both: O a. All the given answers are correct. O b. assign…

A: Job Order Costing:-It tracks prime cost to assign direct material and direct labor cost to the…

Q: Process costing: All the given answers are correct. Ob. uses the manufacturing accounts, including…

A: The correct answer is  Option a.) All the given answer are correct

Q: a. Name two principal types of cost accounting systems.b. Which system provides for a separate…

A: a.

Q: Direct labor and indirect labor are recorded, respectively, to: O Factory Overhead and Goods in…

A: Introduction: Employees' direct labour is the amount of effort they put in to turn raw resources…

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: Which best describes the flow of overhead costs in an activity-based costing system? Group of answer…

A: Under the activity based costing system, overhead rate for each activity is determined to allocate…

Q: During production, how are the costs in process costing accumulated?A. to cost of goods soldB. to…

A: Cost accounting is one of the useful branch of accounting that is being used for the purpose of…

Q: As production takes place, all manufacturing costs are added to the: O A. Manufacturing Overhead…

A: Solution: As production takes palce, all manufacturing costs are added to the "work in process…

Q: Classify each cost as either a product cost or a period cost. Indicate whether each product cost is…

A: Direct Material Cost : The material cost require for production of goods. Direct Labor Cost :- The…

Q: Manufacturing Overhead: Total payments for manufacturing overhead Selling and Administrative…

A: Part 1:

Q: As production occurs, materials, direct labor, and applied manufacturing overhead are recorded in…

A: 1. Material: It Consists of Direct Material only. 2. Cost of goods sold: it is figured out by adding…

Q: In a process cost system, factory depreciation expense incurred is debited to ________.A. finished…

A: Process costing seems to be a way of aggregating manufacturing costs by the process. It illustrates…

Q: Which of the following is a prime cost? A.Factory maintenance expenses B.Administrative labor…

A: Prime cost of the business means cost of direct material and direct labour. Direct material and…