Exam 3: Cost Accumulation for Job-Shop and Batch Production Operations

The financial records of Courville, Inc. have been destroyed in a fire. The following information has been obtained from a separate set of records maintained by the accountant. Your assistance is now needed in computing the missing items. Required: (a) Calculate the amount of direct materials transferred out. (b) Calculate the amount of direct materials purchases. (c) Calculate the ending work in process inventory. (d) Calculate the amount of finished goods transferred out. (e) Calculate the beginning finished goods inventory.

Use the following to answer questions: Key: BB = Beginning Balance EB = Ending Balance -The missing amount for letter e is:

The journal entry to record the above should be: Belmont Corporation incurred the following labor costs during the month of July, 2007:

In job costing, each unit produced is of relatively low value.

Briefly explain the difference between Actual Costing, Normal Costing, and Standard Costing. How does each system assign direct and manufacturing costs to products? Why do many organizations use normal costing or standard costing instead of actual costing? 3 Key

Use the following to answer questions: Use the following information for Swansea Manufacturing Company for the next three questions: -The cost of goods sold for the period was:

Standard costing uses a predetermined rate for both direct and indirect costs to assign manufacturing costs to products.

Process costing does not separate and record costs for each unit produced.

Use the following to answer questions: Key: BB = Beginning Balance EB = Ending Balance -The missing amount for letter c is:

Use the following to answer questions: Use the following information for Swansea Manufacturing Company for the next three questions: -The cost of goods manufactured for the period was: