3.1 Smartbook

Manufacturing overhead consists of all Blank______. Multiple choice question. -indirect costs -manufacturing costs -costs other than direct labor and direct materials -manufacturing costs other than direct labor and direct materials

manufacturing costs other than direct labor and direct materials

The Manufacturing Overhead account is credited when Blank______. Multiple choice question. -actual overhead costs are incurred -overhead is applied to Work in Process -goods are completed

overhead is applied to work in process

The journal entry to record the purchase of materials credits Blank______. Multiple choice question. -raw materials -accounts payable -manufacturing overhead -work in process

account payable

The Manufacturing Overhead account is debited when Blank______. Multiple choice question. -actual overhead costs are incurred -goods are completed -overhead is applied to Work in Process

actual overhead costs are incurred

Actual manufacturing overhead costs are recorded in the Manufacturing Overhead account Blank______. Multiple choice question. -at the end of the period -as they are incurred -as the allocation base is used on a job -when jobs are completed

as they are incurred

The amount transferred from Work in Process to Finished Goods is Blank______. Multiple choice question. -cost of goods manufactured -ending inventory -cost of goods sold

cost of goods manufactured

A journal entry that debits Manufacturing overhead and credits Accounts payable would not be used to record Blank______. Multiple choice question. -miscellaneous factory overhead costs -direct labor costs -factory utilities costs -rent on factory equipment

direct labor costs

A journal entry that debits Manufacturing overhead and credits Accounts payable could be made to record Blank______. Multiple select question. -factory utilities expense -rent on the administrative office -the purchase of indirect materials -rent expense on factory equipment

factory utilities expense rent expense on factory equipment

Completed units that have not yet been sold are found in ________ ________ inventory.

finished goods

Cost of goods manufactured Blank______. Multiple choice question. -is the same as cost of goods sold -is generally recorded as an asset on the balance sheet -includes manufacturing costs of goods finished during the period

includes manufacturing costs of goods finished during the period

Labor costs charged to Manufacturing Overhead represent Blank______ labor costs. Multiple choice question. -direct -indirect -both direct and indirect labor

indirect

Which account is credited when manufacturing overhead is applied? Multiple choice question. -Accounts payable -Cost of goods sold -Work in process -Manufacturing overhead

manufacturing overhead

The journal entry to record accrued property taxes for a factory building debits Blank______. Multiple choice question. -Work in process and credits Property taxes payable -Manufacturing overhead and credits Accounts payable -Manufacturing overhead and credits Property taxes payable -Work in process and credits Manufacturing overhead

manufacturing overhead and credits property taxes payable

Any purchased materials that will go into the finished product are first recorded in the ________ ________ inventory account.

raw materials

A journal entry that debits Manufacturing overhead and credits Property taxes payable records the Blank______. Multiple choice question. -payment of accrued property taxes -application of property taxes -application of manufacturing overhead -recognition of accrued property taxes

recognition of accrued property tax

When labor costs are incurred, Blank______ labor costs are added directly to the Work in Process account. Multiple choice question. -only indirect -only direct -both direct and indirect

only direct

Any purchased materials that will go into the finished product are first recorded in the ________ _________ inventory account.

raw materials

Manufacturing overhead costs include Blank______. Multiple select question. -office equipment depreciation -the factory supervisor's salary -the CEO's salary -factory insurance -direct materials

factory supervisor's salary factory insurance

A journal entry that debits Work in process and Manufacturing overhead and credits Raw materials records the Blank______ Multiple choice question. -application of manufacturing overhead -issuance of materials -completion of goods. -purchase of materials

issuance of materials

Costs of partially completed units are accounted for in Blank______. Multiple choice question. -finished goods -cost of goods manufactured -raw materials -work in process

work in process

A company requisitioned $40,000 in direct materials and $30,000 in indirect materials from the storeroom to be used in production. The journal entry to record this transaction debits Blank______. Multiple choice question. -Work in process $40,000, debits Manufacturing overhead $30,000 and credits Raw materials $70,000 -Work in process $70,000 and credits Raw materials $70,000 -Raw materials $70,000 and credits Work in process $70,000 -Raw materials $70,000, credits Work in process $40,000 and credits Manufacturing overhead $30,000

work in process $40,000, debits Manufacturing overhead $30,000 and credits Raw materials $70,000

A journal entry that debits Work in process and credits Manufacturing overhead is recording the Blank______. Multiple choice question. -purchase of indirect materials -completion of a job -incurrence of actual manufacturing overhead -application of manufacturing overhead costs

application of manufacturing overhead costs

If a company incurs $2,000 of factory rent, $1,000 of factory utilities, and $5,000 of miscellaneous factory costs, the journal entry to record these transactions would be to debit Blank______. Multiple choice question. -Accounts payable $8,000 and credit Manufacturing overhead $8,000 -Work in process $8,000 and credit Accounts payable $8,000 -Manufacturing overhead $8,000 and credit Accounts payable $8,000 -Accounts payable $8,000 and credit Work in process $8,000

manufacturing overhead $8,000 and credit accounts payable $8,000

A journal entry that debits Raw Materials and credits Accounts Payable is recording the Blank______. Multiple choice question. -sale of goods -completion of goods -purchase of materials -issuance of materials into production

purchase of materials

Finished goods Blank______. Multiple choice question. -consist of goods that have been sold to customers during the period -consist of completed, unsold goods -is the same as cost of goods manufactured -consist of goods that require additional processing before being sold

consist of completed, unsold goods

If a company incurs $2,000 of factory rent, $1,000 of factory utilities, and $5,000 of miscellaneous factory costs, the journal entry to record these transactions would be to debit Blank______. Multiple choice question. -Accounts payable $8,000 and credit Work in process $8,000 -Manufacturing overhead $8,000 and credit Accounts payable $8,000 -Accounts payable $8,000 and credit Manufacturing overhead $8,000 -Work in process $8,000 and credit Accounts payable $8,000

manufacturing overhead $8,000 and credit Accounts payable $8,000

Units of product that are only partially complete are contained in _______ ________ process inventory.

work in

Which of the following statements are true? Multiple select question. -Direct labor costs flow through the Raw materials inventory account. -When materials are purchased they are recorded in the Raw materials inventory account. -Raw materials inventory only includes the cost of direct materials. -Raw materials inventory represents the cost of materials not yet used in production.

-When materials are purchased they are recorded in the Raw materials inventory account -Raw materials inventory represents the cost of materials not yet used in production

The journal entry to record the purchase of materials debits Blank______. Multiple choice question. -manufacturing overhead -raw materials -accounts payable -work in process

raw materials