Accounting 404 Chapter 5 Quiz

a paper manufacturing company

A process costing system is most likely used by which of the following?

to each individual department

During production, how are the costs in process costing accumulated?

allocating the costs to the units transferred out and the units partially completed

Which of the following is the step in which materials, labor, and overhead are detailed?

machine operator, electricity, depreciation, insurance

Which of the following lists contains only conversion costs for an inflatable raft manufacturing corporation?

Costs are accumulated by department.

Which of the following production characteristics is better suited for process costing and not job order costing?

$130,000

Direct material costs $3 per unit, direct labor costs $5 per unit, and overhead is applied at the rate of 100% of the direct labor cost. What is the value of the inventory transferred to the next department if beginning inventory was 2,000 units; 9,000 units were started; and 1,000 units were in ending inventory?

costs in the beginning inventory and costs added during the period

The costs to be accounted for consist of which of the following?

15,000

There were 1,000 units in ending inventory after transferring 16,000 units to finished goods inventory. If the beginning inventory was 2,000 units, how many units were started in process?

$103,000

What is the conversion cost to manufacture insulated travel cups if the costs are: direct materials, $17,000; direct labor, $33,000; and manufacturing overhead, $70,000?

$55,000

What is the cost of direct labor if the conversion costs are $330,000 and manufacturing overhead is $275,000?

the material cost per unit

Which is not needed to compute equivalent units of production?

direct labor

Which of the following is a conversion cost?

direct labor

Which of the following is a prime cost?

manufacturing overhead

In a process cost system, factory depreciation expense incurred is debited to ________.