Question 1

The following data were taken from the accounting records of the Hazel Corporation which uses the weighted-average method in its process costing system:  The equivalent units of production for materials costs were?

Accepted Answer

A)  90,000. 
B)  100,000. 
C)  112,000. 
D)  120,000.

Question 2

If the costs for direct labour,factory overhead and direct material were $873,600,$109,200 and $53,200 respectively for 28,000 equivalent units of production,the conversion cost per equivalent unit was $11.60.

Accepted Answer

A) True 
 B)False

Question 3

Using the weighted-average method,the cost per equivalent unit of conversion cost for May is ? (Round your answers to the nearest whole cent)

Accepted Answer

A)  $5.14. 
B)  $5.68. 
C)  $6.00. 
D)  $6.41.

Question 4

What were the equivalent units of production for material costs for May?

Accepted Answer

A)  46,300 units. 
B)  47,800 units. 
C)  49,200 units. 
D)  49,800 units.

Question 5

In process costing,costs are accumulated in processing departments,rather than by job.

Accepted Answer

A) True 
 B)False

Question 6

The Richmond Company uses the weighted-average method in its process costing system.The company has only a single processing department.The company's ending work in process inventory on August 31 consisted of 18,000 units.The units in the ending work in process inventory were 100% complete with respect to materials and 60% complete with respect to labour and overhead.If the cost per equivalent unit for August was $2.75 for materials and $4.25 for labour and overhead,the total cost assigned to the ending work in process inventory was? (Do not round intermediate calculations)

Accepted Answer

A)  $75,600. 
B)  $80,100. 
C)  $95,400. 
D)  $126,000.

Question 7

The equivalent units of production for materials for the month of May were?

Accepted Answer

A)  60,000 units. 
B)  64,000 units. 
C)  69,800 units. 
D)  74,000 units.

Question 8

The equivalent units of production for material for the month are?

Accepted Answer

A)  70,000 units. 
B)  80,000 units. 
C)  82,500 units. 
D)  90,000 units.

Question 9

A manufacturer of blank CDs would ordinarily use process costing rather than job-order costing.

Accepted Answer

A) True 
 B)False

Question 10

Overland,Inc.uses the weighted-average method in its process costing system.The company's work in process inventory on April 30 consists of 25,000 units.The units in the ending inventory are 100% complete with respect to materials and 75% complete with respect to conversion costs.If the cost per equivalent unit is $3.00 for materials and $5.50 for conversion costs,the total cost in the April 30 work in process inventory is? (Do not round intermediate calculations)

Accepted Answer

A)  $109,375. 
B)  $159,375. 
C)  $178,125. 
D)  $212,500.

Question 11

Jimbob Co.uses the FIFO method in its process costing system.The following data concern the operations of the company's first processing department for a recent month.

Accepted Answer

The answer of Jimbob Co.uses the FIFO method in its...

Question 12

Assuming that the company uses the weighted-average cost method,what is the total value of the ending work in process inventory in the Blending Department? (Round intermediate calculation to the nearest cent and final answers to the nearest dollar)

Accepted Answer

A)  $12,903. 
B)  $20,060. 
C)  $32,963. 
D)  $63,070.

Question 13

The total cost of the October 31 work in process inventory was?

Accepted Answer

A)  $35,000. 
B)  $41,250. 
C)  $43,750. 
D)  $78,750.

Question 14

In a processing system where labour costs represent a significant portion of total processing costs,it may be useful to track the three categories of processing costs separately - materials,labour and manufacturing overhead costs.

Accepted Answer

A) True 
 B)False

Question 15

Jimbob Co.uses the weighted-average method in its process costing system.The company adds all required materials at the beginning of the process in Department A,which is the first of two stages in its production process.Information concerning operations in the Department A in October follows:  What were the equivalent units of production in Department A in October?

Accepted Answer

A)  6,000 units. 
B)  12,000 units. 
C)  44,000 units. 
D)  56,000 units.

Question 16

Process manufacturers typically process a continuous flow of raw materials into a finished state.

Accepted Answer

A) True 
 B)False

Question 17

When assigning costs to partially completed units in the ending work in process inventory,it is not necessary to consider the percentage completion of the units under the weighted-average method.

Accepted Answer

A) True 
 B)False

Question 18

The equivalent units of production for labour and overhead for the month are?

Accepted Answer

A)  70,000 units. 
B)  80,000 units. 
C)  82,500 units. 
D)  90,000 units.

Question 19

In process costing,costs are accumulated by department,or process,rather than by order.

Accepted Answer

A) True 
 B)False

Question 20

Assuming that Tru-Colour Paint Company uses the weighted-average method,the equivalent units of production for materials would be?

Accepted Answer

A)  45,000 units. 
B)  46,000 units. 
C)  48,000 units. 
D)  54,000 units.

Exam 5: Cost Behavior: Analysis and Use

The following data were taken from the accounting records of the Hazel Corporation which uses the weighted-average method in its process costing system: The equivalent units of production for materials costs were?

If the costs for direct labour,factory overhead and direct material were $873,600,$109,200 and $53,200 respectively for 28,000 equivalent units of production,the conversion cost per equivalent unit was $11.60.

Using the weighted-average method,the cost per equivalent unit of conversion cost for May is ? (Round your answers to the nearest whole cent)

What were the equivalent units of production for material costs for May?

In process costing,costs are accumulated in processing departments,rather than by job.

The equivalent units of production for materials for the month of May were?

The equivalent units of production for material for the month are?

A manufacturer of blank CDs would ordinarily use process costing rather than job-order costing.

Jimbob Co.uses the FIFO method in its process costing system.The following data concern the operations of the company's first processing department for a recent month.

Assuming that the company uses the weighted-average cost method,what is the total value of the ending work in process inventory in the Blending Department? (Round intermediate calculation to the nearest cent and final answers to the nearest dollar)

The total cost of the October 31 work in process inventory was?

In a processing system where labour costs represent a significant portion of total processing costs,it may be useful to track the three categories of processing costs separately - materials,labour and manufacturing overhead costs.

Process manufacturers typically process a continuous flow of raw materials into a finished state.

When assigning costs to partially completed units in the ending work in process inventory,it is not necessary to consider the percentage completion of the units under the weighted-average method.

The equivalent units of production for labour and overhead for the month are?

In process costing,costs are accumulated by department,or process,rather than by order.

Assuming that Tru-Colour Paint Company uses the weighted-average method,the equivalent units of production for materials would be?