ACCT 526 MIDTERM REVIEW
QUESTIONS AND VERIFIED
CORRECT ANSWERS
GRADED A+ LATEST 100%
GUARANTEED PASS
All of the following are reasons that managers track revenues and costs using a job costing
system except:
Select one:
a. managers compare actual costs with estimated costs throughout the project to identify
unexpected changes as early as possible
b. None of these
c. managers access the accuracy of original cost estimates
d. managers want to know if individual jobs are profitable
e. managers use the information to record product costs as period costs - CORRECT ANSWER-e.
managers use the information to record product costs as period costs
Process costing is best described by which statement?
Select one:
a. None of these
b. units produced in a process costing system are unique and are produced individually
c. there cannot be any beginning or ending work in process inventory with process costing
d. product costs are tracked by department and assigned to products passing through each
, department
e. only direct materials and manufacturing overhead are assigned to products under process
costing - CORRECT ANSWER-d. product costs are tracked by department and assigned to
products passing through each
department
To record wages owed to the production supervisor, the following account should be debited
(increased):
Select one:
a. None of these
b. wages expense
c. work in process inventory
d. wages payable
e. manufacturing overhead - CORRECT ANSWER-e. manufacturing overhead
The law firm, Keen and Sholer, assigns overhead to clients based on direct labor hours using
normal costing. During June, they compiled the following information regarding hours worked
and costs:
Actual direct labor hours 500 hours
Actual overhead costs $7,200
Estimated direct labor hours 1,000 hours
Estimated overhead costs $9,000
The amount of applied overhead for June is: Select one:
a. $9,000
b. None of these
c. $6,480
d. $8,100
e. $7,200 - CORRECT ANSWER-b. None of these
QUESTIONS AND VERIFIED
CORRECT ANSWERS
GRADED A+ LATEST 100%
GUARANTEED PASS
All of the following are reasons that managers track revenues and costs using a job costing
system except:
Select one:
a. managers compare actual costs with estimated costs throughout the project to identify
unexpected changes as early as possible
b. None of these
c. managers access the accuracy of original cost estimates
d. managers want to know if individual jobs are profitable
e. managers use the information to record product costs as period costs - CORRECT ANSWER-e.
managers use the information to record product costs as period costs
Process costing is best described by which statement?
Select one:
a. None of these
b. units produced in a process costing system are unique and are produced individually
c. there cannot be any beginning or ending work in process inventory with process costing
d. product costs are tracked by department and assigned to products passing through each
, department
e. only direct materials and manufacturing overhead are assigned to products under process
costing - CORRECT ANSWER-d. product costs are tracked by department and assigned to
products passing through each
department
To record wages owed to the production supervisor, the following account should be debited
(increased):
Select one:
a. None of these
b. wages expense
c. work in process inventory
d. wages payable
e. manufacturing overhead - CORRECT ANSWER-e. manufacturing overhead
The law firm, Keen and Sholer, assigns overhead to clients based on direct labor hours using
normal costing. During June, they compiled the following information regarding hours worked
and costs:
Actual direct labor hours 500 hours
Actual overhead costs $7,200
Estimated direct labor hours 1,000 hours
Estimated overhead costs $9,000
The amount of applied overhead for June is: Select one:
a. $9,000
b. None of these
c. $6,480
d. $8,100
e. $7,200 - CORRECT ANSWER-b. None of these
