Chapter 3 homework

what materials are needed to complete the job

A bill of materials indicates

$110,050 underallocated

Blitz Company uses a predetermined overhead rate based on direct labor hours to allocate manufacturing overhead to jobs. During the year, the company actually incurred manufacturing overhead costs of $582,900 and 135,100 direct labor hours were worked. The company estimated that it would incur $525,600 of manufacturing overhead during the year and that 150,300 direct labor hours would be worked. By how much was manufacturing overhead over/underallocated for the year?

multiply the predetermined manufacturing overhead rate by the actual allocation base used by the job

How do you calculate allocated manufacturing overhead to a certain job?

divide the total estimated manufacturing overhead costs by the total estimated amount of the allocation base

How do you calculate the predetermined manufacturing overhead rate used to allocate manufacturing overhead costs?

the jobs produced during the period have been overcosted

If manufacturing overhead has been overallocated during the period, then

raw materials inventory

In the basic flow of inventory through a manufacturing system, which of the following occurs FIRST in the job costing system?

cost of goods sold

In the basic flow of inventory through a manufacturing system, which of the following occurs LAST in the job costing system?

work in process inventory

In the basic flow of inventory through a manufacturing system, which of the following occurs SECOND in the job costing system?

finished goods inventory

In the basic flow of inventory through a manufacturing system, which of the following occurs THIRD in the job costing system?

$13,529

Job 590 has a total cost of $29,200. It has been charged manufacturing overhead costs of $7200. The rate is 85% of direct labor. What was the amount of direct materials charged to the job?

allocate some manufacturing overhead to each individual job

Manufacturers follow four steps to implement a manufacturing overhead allocation system. The last step is:

actual overhead is less than allocated overhead

Overallocated manufacturing overhead results when

cereal company, soft drink manufacturer, salsa company

Process costing would be most likely used by a

direct materials, direct labor, and manufacturing overhead

The job cost record summarizes which of the following sets of information for each job?

job costing and process costing

The two basic types of costing systems are

actual overhead is greater than allocated overhead

Underallocated manufacturing overhead results when

work in process inventory account

When direct materials are requisitioned, they flow directly into the

at the end of the period

When is the adjusting of cost of goods sold for the underallocation or overallocation of manufacturing overhead generally done?