The following information has been gathered for Foxmoor Industries for its fiscal year ending December 31: What is the predetermined factory overhead rate per labor hour? \[\begin{array} { | l | r | } \hline \text { Estimated factory ouerhead costs } & \$ 1,500,000 \\ \hline \text { Actual factory overhead costs } & \$ 1,776,400 \\ \hline \text { Estimated labor hours } & 48,000 \\ \hline \text { Actual labor hours } & 51,700 \\ \hline \text { Estimated labor costs } & \$ 756,000 \\ \hline \text { Actual labor costs } & \$ 840,125 \\ \hline \text { Estimated machine hours } & 96,000 \\ \hline \text { Actual machine hours } & 102,600 \\ \hline \end{array}\]

A) $29.01. B) $31.25. C) $37.01. D) $34.36. A) $29.01. B) $31.25. C) $37.01. D) $34.36. B

For Case (B)above,what is the Ending Balance (EB)? \[\begin{array} { | l | r | r | r | } \hline & \text { Case } ( A ) & \text { Case } ( B ) & \text { Case } ( C ) \\ \hline \text { Beginning Balance (BB) } & 64,800 & \$ 59,840 & ? \\ \hline \text { Ending Balance (EB) } & 61,300 & ? & 13,800 \\ \hline \text { Transterred In } ( T ) ) & 189,100 & 79,530 & 65,200 \\ \hline \text { Transterred Out } ( T O ) & ? & 76,420 & 67,300 \\ \hline \end{array}\]

A) $139,300. B) $136,260. C) $62,950. D) $56,730. A) $139,300. B) $136,260. C) $62,950. D) $56,730. C

Determine the missing values from the table below: $\begin{array}{|l|r|r|r|r|} \hline & \begin{array}{r} \text { Case } \\ \text { (A) } \end{array} & \begin{array}{r} \text { Case } \\ \text { (B) } \end{array} & \begin{array}{r} \text { Case } \\ \text { (C) } \end{array} & \begin{array}{r} \text { Case } \\ \text { (D) } \end{array} \\ \begin{array}{l} \text { Beginning Balance } \\ (\mathrm{BB}) \end{array} & ? & \$ 25,760 & \$ 12,050 & \$ 11,450 \\ \hline \begin{array}{l} \text { Ending Balance } \\ \text { (EB) } \end{array} & \$ 19,455 & ? & 21,200 & 5,370 \\ \begin{array}{l} \text { Transterred In (TI) } \end{array} & 199,460 & 214,870 & ? & 87,300 \\ \hline \begin{array}{l} \text { Transterred Out } \\ \text { (TO) } \end{array} & 193,610 & 217,400 & 131,200 & ? \\ \hline \end{array}$

Case A : BB + 199,460 - 193,610 =

For Case (A)above,what is the Transferred-Out (TO)? \[\begin{array} { | l | r | r | r | } \hline & \text { Case } ( A ) & \text { Case } ( B ) & \text { Case } ( C ) \\ \hline \text { Beginning Balance (BB) } & 64,800 & \$ 59,840 & ? \\ \hline \text { Ending Balance (EB) } & 61,300 & ? & 13,800 \\ \hline \text { Transterred In } ( T ) ) & 189,100 & 79,530 & 65,200 \\ \hline \text { Transterred Out } ( T O ) & ? & 76,420 & 67,300 \\ \hline \end{array}\]

A) $185,600. B) $192,600. C) $126,100. D) $178,890. A) $185,600. B) $192,600. C) $126,100. D) $178,890.

Exam 6: Fundamentals of Product and Service Costing

The following information has been gathered for Foxmoor Industries for its fiscal year ending December 31: What is the predetermined factory overhead rate per labor hour? Estimated factory ouerhead costs \ 1,500,000 Actual factory overhead costs \ 1,776,400 Estimated labor hours 48,000 Actual labor hours 51,700 Estimated labor costs \ 756,000 Actual labor costs \ 840,125 Estimated machine hours 96,000 Actual machine hours 102,600

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Question 1

Correct Answer:

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The Titan Enterprises Company manufactures cleaning spray for public schools.During 2016,the company spent $600,000 on prime costs and $800,000 on conversion costs.Overhead is applied at a rate of 150% of direct labor costs.How much did the company allocate (apply)for manufacturing overhead during 2016?

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Question 2

Correct Answer:

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For Case (B)above,what is the Ending Balance (EB)? Case (A) Case (B) Case (C) Beginning Balance (BB) 64,800 \ 59,840 ? Ending Balance (EB) 61,300 ? 13,800 Transterred In (T)) 189,100 79,530 65,200 Transterred Out (TO) ? 76,420 67,300

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Question 3

Correct Answer:

Verified

The predetermined manufacturing overhead rate for the year was $14.00 per direct labor hour;employees were paid $17.50 per hour.If the estimated direct labor cost was $315,000,what was the estimated manufacturing overhead?

(Multiple Choice)

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Question 4

A system that provides information about the costs of processes,products,and services used and produced by an organization is a:

(Multiple Choice)

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Question 5

Determine the missing values from the table below: Case (A) Case (B) Case (C) Case (D) Beginning Balance () ? \ 25,760 \ 12,050 \ 11,450 Ending Balance (EB) \ 19,455 ? 21,200 5,370 Transterred In (TI) 199,460 214,870 ? 87,300 Transterred Out (TO) 193,610 217,400 131,200 ?

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Question 6

Job 434 was recently completed.The following data have been recorded on its job cost sheet: The company applies manufacturing overhead on the basis of machine-hours.The predetermined overhead rate is $12 per machine-hour.Required: Compute the unit product cost that would appear on the job cost sheet for this job.

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Question 7

Job 731 was recently completed.The following data have been recorded on its job cost sheet: The company applies manufacturing overhead on the basis of machine-hours.The predetermined overhead rate is $14 per machine-hour.The total cost that would be recorded on the job cost sheet for Job 731 would be: Direct materials \ 2,391 Direct labor-hours 69 labor-hours Direct labor wage rate \ 13 per labor-hour Machine-hours 129 machine-hours

(Multiple Choice)

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Question 8

The predetermined overhead rate for manufacturing overhead for Ashland Corporation was $8.00 per direct labor hour.The estimated labor rate was $10.00 per hour.If the estimated direct labor cost was $150,000,what was the estimated manufacturing overhead?

(Multiple Choice)

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Question 9

Fender Magic produces a paint solvent.Production of 400,000 pounds was started in February,350,000 pounds were completed.Material costs were $260,130 for the month while conversion costs were $312,620.There was no beginning work-in-process;the ending work-in-process was 90% complete.Required: (a)What is the total cost of the product that was completed and transferred to finished goods? (b)What is the value of the ending work-in-process?

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Question 10

EZ Set produces a quick setting concrete powder.Production of 15,000 tons was started in September,14,000 tons were completed.Material costs were $394,670 for the month while conversion costs were $201,730.There was no beginning work-in-process;the ending work-in-process was 20% complete.Required: (a)What is the total cost of the product that was completed and transferred to finished goods? (b)What is the value of the ending work-in-process?

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Question 11

Gentry Cabinetry produces two models of home shelving,the Basic and the Mega.Data on operations and costs for November are: Required: Compute the predetermined overhead rate,assuming Gentry Cabinetry uses: (a)Direct labor hours to allocate overhead costs.(b)Direct labor costs to allocate overhead costs.(c)Machine hours to allocate overhead costs.(d)Compute the unit cost for each model using direct labor costs to allocate overhead.

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Question 12

Which of the following statements is (are)false regarding cost allocations and product costing? (A)It is easier to determine the individual product cost for a manufacturer than it is for a wholesaler.(B)In general,indirect costs are assigned,while direct costs are allocated.

(Multiple Choice)

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Question 13

"Beginning Balance (BB)plus Transfers Out (TO)equals Ending Balance (EB)plus Transfers In (TI)".

(True/False)

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Question 14

Refresh produces soft drinks and sodas.Production of 100,000 liters was started in February,85,000 liters were completed.Material costs were $38,220 for the month while conversion costs were $16,380.There was no beginning work-in-process;the ending work-in-process was 40% complete.What is the cost of the product that remains in work-in-process?

(Multiple Choice)

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Question 15

The following information is for Ogden Company for the month of November: a.Factory overhead costs are applied to jobs at the predetermined rate of $80 per labor-hour.Job X-14 incurred 2,300 labor-hours;Job SM-4 used 1,850 labor-hours. b.Job X-14 was shipped to customers during November.Job X-14 had a gross margin of 24 percent based on manufacturing cost. c.Job SM-4 was still in process at the end of November.The company closed the overapplied or underapplied overhead to the Cost of Goods Sold account at the end of November. d.Factory utilities,factory depreciation,and factory insurance incurred is summarized by these factory vouchers,invoices,and cost memos: Utilities \ 44,500 Depreciation 53,500 Insurance 38,600 e.The Company purchased the following direct materials and indirect materials: Material A \ 6,000 Material B 7,000 Indirect materials 4,250 Total \ 17,250 f.Direct materials and indirect materials used are as follows: Job K-14 Job SMM-4 Total Material A \ 5,450 \ 33,000 \ 38,450 Material B 1,650 25,500 27,150 Subtotal \ 7,100 \ 58,500 \ 65,600 Indirect materials 66,500 Total \ 132,100 g.Factory labor incurred for the two jobs and indirect labor is as follows: $The following information is for Ogden Company for the month of November: a.Factory overhead costs are applied to jobs at the predetermined rate of $80 per labor-hour.Job X-14 incurred 2,300 labor-hours;Job SM-4 used 1,850 labor-hours. b.Job X-14 was shipped to customers during November.Job X-14 had a gross margin of 24 percent based on manufacturing cost. c.Job SM-4 was still in process at the end of November.The company closed the overapplied or underapplied overhead to the Cost of Goods Sold account at the end of November. d.Factory utilities,factory depreciation,and factory insurance incurred is summarized by these factory vouchers,invoices,and cost memos: \begin{array} { | l | r | } \hline \text { Utilities } & \$ 44,500 \\ \hline \text { Depreciation } & 53,500 \\ \hline \text { Insurance } & 38,600 \\ \hline \end{array} e.The Company purchased the following direct materials and indirect materials: \begin{array} { | l | r | } \hline \text { Material A } & \$ 6,000 \\ \hline \text { Material B } & 7,000 \\ \hline \text { Indirect materials } & 4,250 \\ \hline \text { Total } & \$ 17,250 \\ \hline \end{array} f.Direct materials and indirect materials used are as follows: \begin{array} { | l | r | r | r | } \hline & \text { Job } K - 14 & \text { Job SMM-4 } & \text { Total } \\ \hline \text { Material A } & \$ 5,450 & \$ 33,000 & \$ 38,450 \\ \hline \text { Material B } & 1,650 & 25,500 & 27,150 \\ \hline \text { Subtotal } & \$ 7,100 & \$ 58,500 & \$ 65,600 \\ \hline \text { Indirect materials } & & & 66,500 \\ \hline \text { Total } & & & \$ 132,100 \\ \hline \end{array} g.Factory labor incurred for the two jobs and indirect labor is as follows: Required: 1.Calculate the amount of overapplied or underapplied overhead and state whether the cost of goods sold account will be increased or decreased by the adjustment.2.Calculate the total manufacturing cost for Job X-14 and Job SM-4 for November.$ Required: 1.Calculate the amount of overapplied or underapplied overhead and state whether the cost of goods sold account will be increased or decreased by the adjustment.2.Calculate the total manufacturing cost for Job X-14 and Job SM-4 for November.

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Question 16

Slider processes rebate requests for a large building supply firm.Slider processed 420,000 rebates in March.All rebates are processed the same day they are received.March costs were labor of $28,000 and overhead of $14,000.What is the cost to process 1,000 rebates?

(Multiple Choice)

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Question 17

The predetermined overhead rate is calculated by dividing the prior period's overhead cost by the prior period's allocation base (i.e. ,activity level).

(True/False)

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Question 18

Barton Carts produces two models of push carts,the Standard and the Deluxe.Data on operations and costs for the month are: Required: Compute the total cost for each model,assuming Barton Carts uses: (a)Direct labor hours to allocate overhead costs.(b)Direct labor costs to allocate overhead costs.(c)Machine hours to allocate overhead costs.

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Question 19

For Case (A)above,what is the Transferred-Out (TO)? Case (A) Case (B) Case (C) Beginning Balance (BB) 64,800 \ 59,840 ? Ending Balance (EB) 61,300 ? 13,800 Transterred In (T)) 189,100 79,530 65,200 Transterred Out (TO) ? 76,420 67,300

(Multiple Choice)

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Question 20

Showing 1 - 20 of 148

For Case (B)above,what is the Ending Balance (EB)? Case (A) Case (B) Case (C) Beginning Balance (BB) 64,800 \ 59,840 ? Ending Balance (EB) 61,300 ? 13,800 Transterred In (T)) 189,100 79,530 65,200 Transterred Out (TO) ? 76,420 67,300

The predetermined manufacturing overhead rate for the year was $14.00 per direct labor hour;employees were paid $17.50 per hour.If the estimated direct labor cost was $315,000,what was the estimated manufacturing overhead?

A system that provides information about the costs of processes,products,and services used and produced by an organization is a:

Determine the missing values from the table below: Case (A) Case (B) Case (C) Case (D) Beginning Balance () ? \ 25,760 \ 12,050 \ 11,450 Ending Balance (EB) \ 19,455 ? 21,200 5,370 Transterred In (TI) 199,460 214,870 ? 87,300 Transterred Out (TO) 193,610 217,400 131,200 ?

The predetermined overhead rate for manufacturing overhead for Ashland Corporation was $8.00 per direct labor hour.The estimated labor rate was $10.00 per hour.If the estimated direct labor cost was $150,000,what was the estimated manufacturing overhead?

Which of the following statements is (are)false regarding cost allocations and product costing? (A)It is easier to determine the individual product cost for a manufacturer than it is for a wholesaler.(B)In general,indirect costs are assigned,while direct costs are allocated.

"Beginning Balance (BB)plus Transfers Out (TO)equals Ending Balance (EB)plus Transfers In (TI)".

Slider processes rebate requests for a large building supply firm.Slider processed 420,000 rebates in March.All rebates are processed the same day they are received.March costs were labor of $28,000 and overhead of $14,000.What is the cost to process 1,000 rebates?

The predetermined overhead rate is calculated by dividing the prior period's overhead cost by the prior period's allocation base (i.e. ,activity level).

For Case (A)above,what is the Transferred-Out (TO)? Case (A) Case (B) Case (C) Beginning Balance (BB) 64,800 \ 59,840 ? Ending Balance (EB) 61,300 ? 13,800 Transterred In (T)) 189,100 79,530 65,200 Transterred Out (TO) ? 76,420 67,300

Cost Accounting: Information for Decision Making

Fundamentals of Cost-Volume-Profit Analysis

Fundamentals of Cost Analysis for Decision Making

Cost Estimation

Job Costing

Process Costing

Activity-Based Costing

Fundamentals of Cost Management

Service Department and Joint Cost Allocation

Fundamentals of Management Control Systems

Planning and Budgeting

Business Unit Performance Measurement

Transfer Pricing

Fundamentals of Variance Analysis

Additional Topics in Variance Analysis

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