FiltersDone

Question type

Essay

Multiple Choice

Short Answer

True False

Matching

Exam 5: Job Order Costing

Show Answer

Share

---

All types

Filters

Study FlashcardsPractice ExamLearn

Question 1

True/False

Review LaterAdd Note

Review Later

Standards can be used in a job-order costing system if the products manufactured are varied in nature.

Correct Answer

verified

Show Answer

Question 2

Multiple Choice

Review LaterAdd Note

Review Later

The source document that records the amount of time an employee worked on a job and his/her pay rate is the

A) job-order cost sheet.
B) employee time sheet.
C) interoffice memo.
D) labor requisition form.

Correct Answer

verified

Show Answer

Question 3

Short Answer

Review LaterAdd Note

A company that manufactures sugar will use a ____________________ costing system to track production costs

Robertson Company. Robertson Company uses a job-order costing system and the following information is available from its records.The company has three jobs in process: #8,#12,and #15. Raw matenial used                                                            $130,000 Direct lab or per hour                                                        $\$ 9.50$ Overhead applied bared on direct lab or cost                     $125 \%$ Direct material was requisitioned as follows for each job respectively: 25 percent,30 percent,and 30 percent;the balance of the requisitions was considered indirect.Direct labor hours per job are 2,800;3,300;and 4,000;respectively.Indirect labor is $45,000.Other actual overhead costs totaled $50,000. Refer to Robertson Company.What is the total amount of actual overhead?

In a standard job-order costing system,factory overhead is applied using _______ rates times _________ input.

The cost sheets for incomplete jobs at the end of the period comprise the subsidiary ledger for

Grant Company. Grant Company uses a job-order costing system and develops its predetermined overhead rate based on machine hours.The company has two jobs in process at the end of the cycle,Jobs #177 and #179. Budgeted overhead                         $\$ 100,300$ Budgeted machine hours                  85,000 Raw material                                    $63,000 Labor cost                                        $\$ 50,000$ Refer to Grant Company.What amount of overhead is charged to Jobs #177 and #179? Machine hours are split between Jobs #177 and #179-65 percent and 35 percent,respectively.Actual machine hours equal budgeted machine hours.

A credit to Work in Process Inventory represents

Mayflower Corporation manufactures products on a job-order basis.The job cost sheet for Job #656 shows the following for September:

Direct material	$5,000
Direct labor (100 hours @ $7.25)	$725
Machine hours incurred	40
Predetermined overhead rate per machine hour	$26

At the end of September,what total cost appears on the job cost sheet for Job #656?

When raw materials are placed into production,the materials inventory account is debited.

Charleston Company Charleston Company has two departments (Processing and Packaging) and uses a job-order costing system.Charleston applies overhead in Processing based on machine hours and on direct labor cost in Packaging.The following information is available for July: $\begin{array}{llc}\text { Machine hours } & \frac{\text { Processing }}{2,500} & \frac{\text { Packagin }}{1,000} \\\text { Directlabor cost } & \$ 44,500 & \$ 23,000 \\\text { Applied overhead } & \$ 55,000 & \$ 51,750\end{array}$ Refer to Charleston Company What is the overhead application rate for Packaging?

The use of standard material or labor costs in job-order costing

Which of the following are drawbacks to applying actual overhead to production?

If a substandard product cannot be reworked,it is known as _________.

What information should be contained in a subsidiary ledger for Work in Process Inventory in a job-order costing system?

In a normal cost system,a debit to Work in Process Inventory would not be made for

Jacksonville Company uses a job-order costing system.During May,the following costs appeared in the Work in Process Inventory account: Eepincing belance                            $30,000 Directmeterial used                        90,000 Directlab or inchred                        52,500 Applied overhead                            52,500 Cost of goods manufactured.        225,000 Jacksonville Company applies overhead on the basis of direct labor cost.There was only one job left in Work in Process at the end of May which contained $6,300 of overhead.What amount of direct material was included in this job?

Peoria Company Peoria Company has two departments (Processing and Packaging) and uses a job-order costing system.Peoria applies overhead in Processing based on machine hours and on direct labor cost in Packaging.The following information is available for August: $\begin{array}{llc}\text { Machine hours } & \frac{\text { Processing }}{3,600} & \frac{\text { Packagin }}{1,500} \\\text { Directlabor cost } & \$ 47,600 & \$ 24,000 \\\text { Applied overhead } & \$ 60,500 & \$ 54,750\end{array}$ Refer to Peoria Company.What is the overhead application rate per machine hour for Processing?

Grant Company. Grant Company uses a job-order costing system and develops its predetermined overhead rate based on machine hours.The company has two jobs in process at the end of the cycle,Jobs #177 and #179. Budgeted overhead                         $\$ 100,300$ Budgeted machine hours                  85,000 Raw material                                    $63,000 Labor cost                                        $\$ 50,000$ Refer to Grant Company.Labor cost was split 25 percent and 70 percent,respectively,between Jobs #177 and #179 for direct labor.The remainder was indirect labor cost.What are the total costs of Jobs #177 and #179?

Cost flows and physical flows of units are identical.