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ACC 650 week 2

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Question;accounting 650 quiz week2;1.;Cosby uses a weighted-average;process-costing system. All materials are added at the beginning of the;process, conversion costs are incurred evenly throughout production. The;company finished 40,000 units during the period and had 15,000 units in progress;at year-end, the latter at the 40% stage of completion. Total material costs;amounted to $220,000, conversion costs were $414,000.;The cost of goods completed is;$312,000.;$414,000.;$520,000.;$634,000.;some other;amount;2.;Kentucky Corporation uses;a process-cost accounting system. The company adds direct materials at the;start of its production process, conversion cost, on the other hand, is;incurred evenly throughout manufacturing. The firm has no beginning;work-in-process inventory, its ending work in process is 40% complete. Which of;the following sets of percentages would be used to calculate the correct number;of equivalent units in the ending work-in-process inventory?;Materials, 40%, conversion cost, 40%.;Materials, 40%, conversion cost, 100%.;Materials, 100%, conversion cost, 40%.;Materials, 100%, conversion cost, 60%.;Materials, 100%, conversion cost, 100%.;3.;When calculating unit;costs under the weighted-average process-costing method, the unit cost is based;on;only the current period's manufacturing costs.;only costs in the period's beginning work-in-process inventory.;a summation of the costs in the beginning work-in-process;inventory plus costs incurred in the current period.;only costs incurred in previous accounting periods.;a summation of the costs in the beginning work-in-process;inventory plus costs to be incurred in the upcoming period.;4.;Hamilton, which uses a;process-costing system, had a balance in its Work-in-Process account of $68,000;on January 1. The account was charged with direct materials, direct labor, and;manufacturing overhead of $450,000 throughout the year. If a review of the;accounting records determined that $86,000 of goods were still in production at;year-end, Hamilton should make a journal entry on December 31 that includes;a debit to Cost of Goods Sold for $432,000.;a credit to Finished-Goods Inventory for $432,000.;a credit to Work-in-Process Inventory for $432,000.;a debit to Finished-Goods Inventory for $86,000.;a credit to Work-in-Process Inventory for $86,000.;5.;In a process-costing;system, manufacturing costs are accumulated by;batch.;batch and time period.;department.;department and time period.;department or process, and time period.;6.;Peach Company uses a weighted-average;process-costing system. Company records disclosed that the firm completed;40,000 units during the month and had 10,000 units in process at month-end, 20%;complete. Conversion costs associated with the beginning work-in-process;inventory amounted to $231,000, and amounts that relate to the current month;totaled $966,000. If conversion is incurred uniformly throughout manufacturing;Peach's equivalent-unit cost is;$23.00.;$23.94.;$24.15.;$28.50.;some other amount.;7.;Process costing would likely;be used in all of the following industries except;petroleum refining.;chemicals.;truck tire manufacturing.;wood pulp production.;automobile repair.;8.;Unit costs in a;process-costing system are derived by using;in-process units.;completed units.;physical units.;equivalent units.;a measure of activity other than those listed above.;9.;Muhares, which uses a;process-costing system, adds material at the beginning of production and incurs;conversion cost evenly throughout manufacturing. The following selected;information was taken from the company's accounting records;Total equivalent units of materials: 8,000;Total equivalent units of conversion: 7,400;Units started and completed during the period: 6,500;On the basis of this information, the ending work-in-process;inventory's stage of completion is;80%.;70%.;60%.;40%.;some other percentage not listed above.;10.;Cosby uses a;weighted-average process-costing system. All materials are added at the;beginning of the process, conversion costs are incurred evenly throughout;production. The company finished 40,000 units during the period and had 15,000;units in progress at year-end, the latter at the 40% stage of completion. Total;material costs amounted to $220,000, conversion costs were $414,000.;The cost of the ending work in process is;$54,000.;$78,000.;$114,000.;$195,000.;some other amount.;11.;Process costing is used;to account for;large numbers of identical products that are produced in a;continuous manufacturing environment.;small numbers of products that are produced in batches.;raw materials that are converted directly to finished goods.;finished goods that are refined and processed further.;large numbers of products that are produced in a non-repetitive;process.;12.;Michaella, Inc. uses a;process-costing system. A newly-hired accountant identified the following;procedures that must be performed by the close of business on Friday;1?Calculation of equivalent units;2?Analysis of physical flows of units;3?Assignment of costs to completed units and units still in;process;4?Calculation of unit costs;Which of the following choices correctly expresses the proper;order of the preceding tasks?;1, 2, 3, 4.;1, 2, 4, 3.;1, 4, 3, 2.;2, 1, 4, 3.;2, 1, 3, 4.;13.;Universal Manufacturing uses;a weighted-average process-costing system. All materials are introduced at the;start of manufacturing, and conversion costs are incurred evenly throughout the;process. The company's beginning and ending work-in-process inventories totaled;10,000 units and 15,000 units, respectively, with the latter units being 2/3;complete at the end of the period. Universal started 30,000 units into;production and completed 25,000 units. Manufacturing costs follow.;Beginning work in process: Materials, $60,000, conversion cost;$150,000;Current costs: Materials, $180,000, conversion cost, $480,000;Universal's equivalent-unit cost for conversion cost is;$13.71.;$18.00.;$21.00.;$25.20.;some other amount.;14.;Fiero Corporation adds;all materials at the beginning of production and incurs conversion cost evenly;throughout manufacturing. The company completed 70,000 units during the year;and had 12,000 units in process at year end, 20% complete with respect to;conversion cost. Equivalent units for the year total;materials, 70,000, conversion, 70,000.;materials, 70,000, conversion, 2,400.;materials, 72,400, conversion, 72,400.;materials, 82,000, conversion, 72,400.;materials, 82,000, conversion, 82,000.;15.;Barrett Corporation had;6,500 units of work in process on April 1. During April, 19,100 units were;completed and as of April 30, 5,100 units remained in production. How many;units were started during April?;11,600.;17,700.;20,500.;30,700.;None of these.;16.;Which of the following;statements is false?;In job-order costing, costs are accumulated by job order.;In process costing, costs are accumulated by department.;In process costing, the cost per unit in a department is found;by spreading the period's manufacturing costs over the production activity.;In process costing, the total cost of each unit is found by;dividing the total factory costs by the number of units completed.;In job-order costing, the unit cost is found by dividing the;job's total cost by the job's total units.;17.;Which of the following;statements about similarities between process costing and job-order costing are;true?;I. Both systems assign production costs to units of output.;II. Both systems require extensive knowledge of financial;accounting.;III. The flow of costs through the manufacturing accounts is;essentially the same.;I only.;I and III.;II and III.;III only.;I, II, and III.;18.;Universal Manufacturing;uses a weighted-average process-costing system. All materials are introduced at;the start of manufacturing, and conversion costs are incurred evenly throughout;the process. The company's beginning and ending work-in-process inventories;totaled 10,000 units and 15,000 units, respectively, with the latter units;being 2/3 complete at the end of the period. Universal started 30,000 units;into production and completed 25,000 units. Manufacturing costs follow.;Beginning work in process: Materials, $60,000, conversion cost;$150,000;Current costs: Materials, $180,000, conversion cost, $480,000;Universal's equivalent-unit cost for materials is;$4.50.;$6.00.;$8.00.;$9.60.;some other amount.;19.;Companies that use a;process-cost accounting system would;establish a separate Work-in-Process Inventory account for each;manufacturing department.;establish a separate Finished-Goods Inventory account for each;manufacturing department.;pass completed production directly to Cost of Goods Sold.;charge goods produced with actual overhead amounts rather than;applied overhead amounts.;eliminate the need for the Finished-Goods Inventory account.;1. Aglow Company uses a process-cost system for its single product.;Material A is added at the beginning of the process, in contrast, material B is;added when the units are 50% complete. The firm's ending work-in-process;inventory consists of 4,000 units that are 75% complete. Which of the following;correctly expresses the equivalent units of production with respect to;materials A and B in the ending work-in-process inventory?;A, 3,000, B, 0.;A, 3,000, B, 3,000.;A, 4,000, B, 0.;A, 4,000, B, 4,000.;A, 4,000, B, 3,000.

 

Paper#40277 | Written in 18-Jul-2015

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