Exam 11: Incremental Analysis

Barr Mfg.provided the following information from its accounting records for 2022: Estimated production 60,000 labor hours Actual production \ 6,000 labor hours Estimated overhead \ 900,000 Actual overhead \ 870,000 How much is the predetermined overhead rate if Barr bases the rate on direct labor hours?

If the Manufacturing Overhead has a positive balance at the end of a period it means that

In a job order cost system it would be correct in recording the purchase of raw materials to increase

A company may use either a job order cost system or a process cost system but not both.

On the cost of goods manufactured schedule the cost of goods manufactured agrees with the

Accumulating and assigning manufacturing costs are two important activities in a job order cost system.

Which one of the following is a source document that impacts the job cost sheet?

If Manufacturing Overhead has a positive balance at the end of the period then

Hayward Manufacturing Company developed the following data: Beginning work in process inventory \ 900,000 Direct materials used 700,000 Actual overhead 1,100,000 Overhead applied 800,000 Cost of goods manufactured 1,200,000 Ending work in process 1,500,000 Hayward Manufacturing Company's total manufacturing costs for the period is

The predetermined overhead rate is based on the relationship between estimated annual overhead costs and estimated annual operating activity expressed in terms of a common activity base.

When raw materials are purchased the Work in Process Inventory account is increased.

Overapplied manufacturing overhead exists when overhead assigned to work in process is

In a job order cost accounting system the Raw Materials Inventory account is

Which of the following is not viewed as part of assigning manufacturing costs in a job order cost system?

When determining costs of jobs how does a company account for indirect materials?

For Wilton Company the predetermined overhead rate is 70% of direct labor cost.During the month $720000 of Factory Labor was incurred of which $200000 is indirect labor.Actual overhead incurred was $360000.The amount of overhead added to Work in Process Inventory should be:

In a job order cost system a decrease to Manufacturing Overhead will be accompanied by an increase to

The two major steps in the flow of costs are

In a job order cost system each entry to the Work In Process Inventory account should be accompanied by a posting to one or more job cost sheets.

The following information is available for completed Job No.402: Direct materials $120000; direct labor $180000; manufacturing overhead applied $90000; units produced 5000 units; units sold 4000 units.The cost of the finished goods on hand from this job is