Premier Products uses the following account titles: A. Accounts payable B. Raw materials inventory C. Work in process inventory D. Manufacturing overhead E. Cost of goods sold F. Depreciation expense G. Accumulated depreciation H. Wages and salaries payable 1. Wages and salaries expense J. Finished goods inventory For each transaction described below, indicate which accounts would be debited and credited under a job order cost system: 1. Materials are purchased on account 2. Materials are placed into production 3. Direct labor cost is incurred 4. Depreciation is recorded on the factory equipment 5. Manufacturing overhead is applied to units of product 6. Cost of goods manufactured is recorded 7. Cost of goods sold is recorded Debit Credit

Premier Products uses the following account titles: A. Accounts payable B. Raw materials inventory C. Work in process inventory D. Manufacturing overhead E. Cost of goods sold F. Depreciation expense G. Accumulated depreciation H. Wages and salaries payable 1. Wages and salaries expense J. Finished goods inventory For each transaction described below, indicate which accounts would be debited and credited under a job order cost system: 1. Materials are purchased on account 2. Materials are placed into production 3. Direct labor cost is incurred 4. Depreciation is recorded on the factory equipment 5. Manufacturing overhead is applied to units of product 6. Cost of goods manufactured is recorded 7. Cost of goods sold is recorded Debit Credit

Principles of Cost Accounting

17th Edition

ISBN:9781305087408

Author:Edward J. Vanderbeck, Maria R. Mitchell

Publisher:Edward J. Vanderbeck, Maria R. Mitchell

Chapter5: Process Cost Accounting—general Procedures

Section: Chapter Questions

Problem 13E

See similar textbooks

Similar questions

In a job order cost system, indirect labor incurred is debited to which account? A. work in process inventory B. finished goods inventory C. manufacturing overhead D. cost of goods sold
In a job order cost system, factory wage expense is debited to which account? A. raw materials inventory B. work in process inventory C. finished goods inventory D. cost of goods sold
In a job order cost system, utility expense incurred is debited to which account? A. work in process inventory B. finished goods inventory C. manufacturing overhead D. cost of goods sold
In a job order cost system, overhead applied is debited to which account? A. work in process inventory B. finished goods inventory C. manufacturing overhead D. cost of goods sold
Freeman Furnishings has summarized its data as shown. Direct labor hours will be used as the activity base to allocate overhead: Compute the cost of goods manufactured.
Freeman Furnishings has summarized its data as shown: Compute the cost of goods manufactured, assuming that the overhead is allocated based on direct labor hours
Assigning indirect costs to specific jobs is completed by which of the following? applying the costs to manufacturing overhead using the predetermined overhead rate using the manufacturing costs incurred applying the indirect labor to the work in process inventory
Tuscany Products, Inc. uses a job order cost system. The following accounts have been taken from the books of the company: Required: 1. Analyze the accounts and describe in narrative form what transactions took place. (Use the reference letters a. through f. in your explanations and note that some accounts needed in your explanation have been purposely omitted.) 2. List the supporting documents or forms required to record each transaction involving the receipt or issuance of materials. 3. Determine the ending balances for Materials, Work in Process, and Finished Goods.
In a process cost system, factory depreciation expense incurred is debited to _____________________. finished goods inventory work in process inventory manufacturing overhead cost of goods sold
The ending balance of which of the following accounts is calculated by summing the totals of the open (unfinished) job-order cost sheets? a. Raw Materials b. Overhead Control c. Work in Process d. Finished Goods e. Cost of Goods Sold
Which of the following is a prime cost? A. direct labor B. work in process inventory C. administrative labor D. factory maintenance expenses
Assigning indirect costs to departments is completed by __________________________. applying the predetermined overhead rate debiting the manufacturing costs incurred applying the costs to manufacturing overhead applying the costs to work in process inventory