Chapter 4: Job Order Costing

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

A

In a job order cost system, raw materials purchased are debited to which account? A. raw materials inventory B. work in process inventory C. finished goods inventory D. cost of goods sold

A

Which document lists the total direct labor used in a specific job? A. job cost sheet B. purchase order C. employee time ticket D. receiving document

A

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

B

Which of the following is a prime cost? A. indirect materials B. direct labor C. administrative expenses D. factory depreciation expenses

B

Which of the following product situations is better suited to job order costing than to process costing? A. Each product batch is exactly the same as the prior batch. B. The costs are easily traced to a specific product. C. Costs are accumulated by department. D. The value of work in process is based on assigning standard costs.

B

A job order costing system is most likely used by which of the following? A. a pet food manufacturer B. a paper manufacturing company C. an accounting firm specializing in tax returns D. a stereo manufacturing company

C

Assigning indirect costs to specific jobs is completed by which of the following? A. applying the costs to manufacturing overhead B. using the predetermined overhead rate C. using the manufacturing costs incurred D. applying the indirect labor to the work in process inventory

C

During production, to what are the costs in job order costing applied? A. manufacturing overhead B. cost of goods sold C. each individual product D. each individual department

C

In a job order cost system, which account shows the overhead used by the company? A. work in process inventory B. finished goods inventory C. cost of goods sold D. manufacturing overhead

D

The activity base for service industries is most likely to be ________. A. machine hours B. administrative salaries C. direct labor cost D. direct labor hours

D

Which of the following is a conversion cost? A. raw materials B. direct materials C. administrative expenses D. factory depreciation expenses

D

Which document lists the total direct materials used in a specific job? A. job cost sheet B. purchase order C. materials requisition form D. receiving document

A

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

C

Which document shows the cost of direct materials, direct labor, and overhead applied for each specific job? A. job cost sheet B. purchase order C. materials requisition form D. receiving document

A

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

C

Which document lists the inventory that will be removed from the raw materials inventory? A. job cost sheet B. purchase order C. materials requisition form D. receiving document

C