ACCT 526 FINAL PAPER 2026 COMPLETE
QUESTIONS AND CORRECT ANSWERS
◉ In a job order cost system, the amount of overhead cost that has
been applied to a job that remains incomplete at the end of a period:
Answer: is part of the ending balance of the Work in Process
inventory account
◉ Archer Company uses a job order cost system. During the month
of September, the company worked on Job B. The information
contained on the cost sheet is as follows:
Job B
Beg Balance $1,500
Direct Material $800
Direct Labor $2,300
The company applied overhead at 120% of direct labor cost. During
September Job B was completed and sold in October. If Job B sold for
$8,000, what was the amount of gross profit for this job? (Ignore any
consideration of over/under applied overhead)
Answer: $640
, ◉ At the end of the accounting period, applied overhead was larger
than actual overhead by a material amount. The over applied
overhead should be:
Answer: apportioned among Work in Process Inventory, Finished
Goods Inventory and Cost of Goods Sold
◉ At December 31, 2017, Stand Still Industries had $2,500 of raw
material inventory. At the beginning of 2017, there was $2,000 of
materials on hand. During the year, the company purchased
$305,000 of materials; however, it paid for only $292,500. How
much inventory was used of jobs during 2017?
Answer: $304,500
◉ In the year-end financial statements, the Manufacturing Overhead
account should have:
Answer: a zero balance, since all overhead costs incurred during the
year should be assigned to the production of the year
◉ ABC Company budgeted the following transactions for April:
Sales (75% collected in month of sale) $200,000
Cash operating expense $105,000
Cash purchases of capital investments $75,000
Cash payment of debt $20,000
QUESTIONS AND CORRECT ANSWERS
◉ In a job order cost system, the amount of overhead cost that has
been applied to a job that remains incomplete at the end of a period:
Answer: is part of the ending balance of the Work in Process
inventory account
◉ Archer Company uses a job order cost system. During the month
of September, the company worked on Job B. The information
contained on the cost sheet is as follows:
Job B
Beg Balance $1,500
Direct Material $800
Direct Labor $2,300
The company applied overhead at 120% of direct labor cost. During
September Job B was completed and sold in October. If Job B sold for
$8,000, what was the amount of gross profit for this job? (Ignore any
consideration of over/under applied overhead)
Answer: $640
, ◉ At the end of the accounting period, applied overhead was larger
than actual overhead by a material amount. The over applied
overhead should be:
Answer: apportioned among Work in Process Inventory, Finished
Goods Inventory and Cost of Goods Sold
◉ At December 31, 2017, Stand Still Industries had $2,500 of raw
material inventory. At the beginning of 2017, there was $2,000 of
materials on hand. During the year, the company purchased
$305,000 of materials; however, it paid for only $292,500. How
much inventory was used of jobs during 2017?
Answer: $304,500
◉ In the year-end financial statements, the Manufacturing Overhead
account should have:
Answer: a zero balance, since all overhead costs incurred during the
year should be assigned to the production of the year
◉ ABC Company budgeted the following transactions for April:
Sales (75% collected in month of sale) $200,000
Cash operating expense $105,000
Cash purchases of capital investments $75,000
Cash payment of debt $20,000
