Question :
56. Kline Manufacturing has the following labor costs:
Factory—Gross wages$490,000
Factory—Net wages420,000
Employer : 1311610
56. Kline Manufacturing has the following labor costs:
Factory—Gross wages$490,000
Factory—Net wages420,000
Employer Payroll Taxes Payable50,000
The entry to record the cost of factory labor and the associated payroll tax expense will include a debit to Factory Labor for
a.$540,000.
b.$490,000.
c.$470,000.
d.$440,000.
57. Factory labor costs
a.accumulate in advance of utilization.
b.accumulate in a control account.
c.include sick pay earned by factory workers.
d.accumulate in the Factory Labor Expense account.
58. Which of the following is not a control account?
a.Manufacturing Overhead
b.Factory Labor
c.Accounts Receivable
d.Raw Materials Inventory
59. Manufacturing Overhead would not have a subsidiary account for
a.utilities.
b.property taxes.
c.insurance.
d.raw materials inventory.
60. The entry to record the acquisition of raw materials on account is
a.Work in Process Inventory
Accounts Payable
b.Manufacturing Overhead
Raw Materials Inventory
Accounts Payable
c.Accounts Payable
Raw Materials Inventory
d.Raw Materials Inventory
Accounts Payable
61. Which one of the following best describes a job cost sheet?
a.It is a form used to record the costs chargeable to a specific job and to determine the total and unit costs of the completed job.
b.It is used to track manufacturing overhead costs to specific jobs.
c.It is used by management to understand how direct costs affect profitability.
d.It is a daily form that management uses for tracking worker productivity on which employee raises are based.
62. Job cost sheets constitute the subsidiary ledger for the
a.Finished Goods Inventory account.
b.Cost of Goods Sold account.
c.Work In Process Inventory account.
d.Cost of Goods Manufactured account.
63. A materials requisition slip showed that direct materials requested were $63,000 and indirect materials requested were $9,000. The entry to record the transfer of materials from the storeroom is
a.Work In Process Inventory……………………….63,000
Raw Materials Inventory………………………………..63,000
b.Direct Materials……………………………..63,000
Indirect Materials…………………………………….9,000
Work in Process Inventory……………………………….72,000
c.Manufacturing Overhead………………………..72,000
Raw Materials Inventory………………………………..72,000
d.Work In Process Inventory……………………….63,000
Manufacturing Overhead………………………………..9,000
Raw Materials Inventory………………………………..72,000
64. The job cost sheet does not show
a.costs chargeable to a specific job.
b.the total costs of a completed job.
c.the unit cost of a completed job.
d.the cost of goods sold.
65. Under an effective system of internal control, the authorization for issuing materials is made
a.orally.
b.on a prenumbered materials requisition slip.
c.by the accounting department.
d.by anyone on the production line.
