Which of the following statements regarding work in process is not correct? O a. Work in process consists of direct labor, direct material, and applied manufacturing overhead. b. Work in process is partially completed inventory. Oc. None of the given answer. O d. Work-in-Process Inventory is credited when goods are sold. Work-in-Process Inventory is debited to record direct material used and direct labor incurred O e.

Which of the following statements regarding work in process is not correct? O a. Work in process consists of direct labor, direct material, and applied manufacturing overhead. b. Work in process is partially completed inventory. Oc. None of the given answer. O d. Work-in-Process Inventory is credited when goods are sold. Work-in-Process Inventory is debited to record direct material used and direct labor incurred O e.

Managerial Accounting

15th Edition

ISBN:9781337912020

Author:Carl Warren, Ph.d. Cma William B. Tayler

Publisher:Carl Warren, Ph.d. Cma William B. Tayler

Chapter3: Process Cost Systems

Section: Chapter Questions

Problem 12E: a. Based on the data in Exercise 17-11, determine the following: 1. Cost of beginning work in...

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S1: When raw materials are requisitioned and placed into production, the Raw Materials Inventory account is debited.S2: Over-applied overhead that is material in amount is closed to the Cost of Sales account at year-end. Group of answer choices False; True False; False True; True True; False
1.Under the job-cost system using periodic inventory system, issues of direct materials from warehouse to production are credited to? a.Materials b.Work in process c.Finished goods d.None of the above 2. Under the job-order costing system, the peso amount of the entry involved in the transfer of inventory from work in process to finished goods is the sum of the costs charged to all jobs; a.completed and sold during the period b.in process during the period c.started in process during the period d.completed during the period
The journal entry to write-off a significant underapplied overhead balance at the end of an accounting period is: A. Applied Manufacturing Overhead xxx Cost of Goods Sold xxx Manufacturing Overhead Control xxx B. Applied Manufacturing Overhead xxx Cost of Goods Sold xxx Manufacturing Overhead Control xxx C. Applied Manufacturing Overhead xxx Work-In-Process Inventory xxx Finished Goods Inventory xxx Cost of Goods Sold xxx Manufacturing Overhead Control xxx D. Applied Manufacturing Overhead xxx Work-In-Process Inventory xxx Finished Goods Inventory xxx Cost of Goods Sold xxx Manufacturing Overhead Control xxx Option A Option B Option C Option D
Q3) As production takes place, all manufacturing costs are debited to the: A. work in process inventory account.B. manufacturing overhead account.C. cost of goods sold account.D. finished goods account.
INFO FOR QUESTIONS IN IMAGE 1. Compute the underapplied or overapplied overhead. [Underapplied OR Overapplied] [$ ] 2. Assume that the company closes any underapplied or overapplied overhead to Cost of Goods Sold. Prepare the appropriate journal entry. Record the entry to close the balance in the manufacturing overhead account to the cost of goods sold account. (Note: Enter debits before credits.) Event General Journal Debit Credit 1 3. Assume that the company allocates any underapplied or overapplied overhead proportionally to Work in Process, Finished Goods, and Cost of Goods Sold. Prepare the appropriate journal entry. Record the allocation of the underapplied/overapplied overhead to various accounts. (Note: Enter debits before credits.) Event General Journal Debit Credit 1 4. How much higher or lower will net operating income be if the underapplied or overapplied overhead is allocated to…
Selected information from the Iowa Instruments accounting records for April follows: Materials Inventory Debit Credit BB (4/1) 26,800 210,800 175,800 Work-in-Process Inventory Debit Credit Labor 95,400 EB (4/30) 92,800 Finished Goods Inventory Debit Credit BB (4/1) 88,800 288,200 273,800 Cost of Goods Sold Debit Credit 5,300 Manufacturing Overhead Control Debit Credit 79,300 79,300 Applied Manufacturing Overhead Debit Credit 89,040 83,740 5,300 Additional information for April follows: The labor wage rate was $30 per hour. During the month, sales revenue was $320,900, and selling and administrative costs were $82,000. This company has no indirect materials or supplies. The company applies manufacturing overhead on the basis of direct labor-hours. Customer returns are discarded and not resold. Required: What was…
d. What was the cost of products completed during Febuary? e. What was the balance of the Work-in-Process Inventory account at the end of Fabuary? f. What was the operating profit for Febuary? Any over- or underapplied overhead is written off to Cost of Goods Sold? Please provide an explanation it would be of great help with my learning. Thank you <3
Complete the missing amounts and labels in the T-accounts. Work-in-Process Inventory--Cutting Balance, May 1 0 (a) Transfer out to ? Direct Materials 57,000 Direct Labor 5,000 Manufacturing Overhead 39,000 Balance, May 31 16,000 Work-in-Process Inventory ---Finishing Balance, May 1 11,000 80,000 Transfer out to ? Transfer in from (b) Direct Materials 21,000 Direct Labor (c) Manufacturing Overhead 18,000 Balance, May 31 68,000 Work-in-Process Inventory---Packaging Balance, May 1 4,000 (d) Transfer out to ? Transfer in from (e) Direct Materials 1,000 Direct Labor 9,000 Manufacturing Overhead 14,000 Balance, May 31 8,000 Finished Goods Inventory Balance, May 1 0 (f) Transfer out to ? Transfer in from ? (g) Balance, May 31 2,000…
Referring to the question E2-26A in the textbook named Managerial Accounting by Pearson- 5th edition. The expenses named “ insurance on plant, depreciation-plant building and equipment and repairs and maintenance-plant “, how can we identify they are not a kind of indirect costs of manufacturing? For instance, insurance on plant is obvious an expenses because of manufacturing the product. Plus, What is the purpose of the question mention- Assume that the RM inventory contains only direct materials? Please instruct. Appreciated
1. Calculate under- or overapplied overhead for the year. 2. Assuming that Sheffield closes under- or overapplied overhead to Cost of Goods Sold, calculate the cost of goods sold for the year. Calculate adjusted cost of goods sold. 3. Assuming that Sheffield prorates under- or overapplied overhead to the appropriate accounts, calculate the adjusted Work in Process Inventory, Finished Goods Inventory, and Cost of Goods Sold balances for the year.
1. Describe when it is appropriate for a company to use a job-order cost system. 2.Calculate the dollar balance in ScaleDown's WIP inventory account as at May 31,2018 3.Calculate the dollar amount related to the playpens in ScaleDown's finished goods inventory as at May 31,2018 4.Explain the paper accounting treatment for over- or underapplied overhead balances when using a job-order cost system
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