Question : 11) Journal entries crediting Payroll Payable and debiting Work-in-Process Inventory : 1171261

 

11) Journal entries crediting Payroll Payable and debiting Work-in-Process Inventory are made for:

A) administrative salaries.

B) hourly manufacturing labor.

C) foremen’s salaries.

D) raw materials.

12) The entry for indirect materials (such as glue, etc.) requisitioned for use in production is:

A)

Raw Materials Inventory

Work-in-Process Inventory

 

B)

Manufacturing Overhead – Control

Supplies Inventory

 

C)

Work-in-Process Inventory

Raw Materials Inventory

 

D) None of these answers is correct.

13) During the week ended November 30, total factory payroll incurred was $8,000. Of this total, 80% was for direct labor. The entry to record the payroll distribution would include:

A) debit Work-in-Process Inventory for $6,400 and Manufacturing Overhead-Control for $1,600.

B) debit Work-in-Process Inventory for $8,000.

C) debit Work-in-Process Inventory for $6,400 and Manufacturing Overhead-Applied for $1,600.

D) debit Work-in-Process Inventory for $6,400 and Indirect Labor Expense for $1,600.

14) The entry to record the requisition of supplies from the storeroom would include a:

A) debit to Raw Materials Inventory.

B) debit to Overhead-Control.

C) debit to Supplies Inventory.

D) debit to Work in Process Inventory.

15) Candyland completed the manufacturing process. The entry to transfer the product to finished goods is:

A)

Raw Materials Inventory

Finished Goods Inventory

 

B)

Finished Goods Inventory

Cost of Goods Sold

 

C)

Finished Goods Inventory

Work-in-Process Inventory

 

D)

Finished Goods Inventory

Raw Materials Inventory

16) Omega.com sold 25 jet skis on account for $7,000 which cost $5,000. The entry to record the sale would include:

A) credit to Finished Goods Inventory $5,000.

B) credit to Account Receivable for $7,000.

C) debit to Cost of Goods Sold for $7,000.

D) all of the above.

17) The Manufacturing Overhead-Control account is used for the:

A) application of overhead to production and it has a debit balance.

B) accumulation of all actual overhead costs and it has a credit balance.

C) application of overhead to production and it has a credit balance.

D) accumulation of all actual overhead costs and it has a debit balance.

18) The Overhead-Applied account is used for the:

A) application of overhead to production and it has a credit balance.

B) accumulation of all actual overhead costs and it has a credit balance.

C) application of overhead to production and it has a debit balance.

D) accumulation of all actual overhead costs and it has a debit balance.

19) The overhead application rate may be based on:

A) machine hours.

B) direct labor hours.

C) direct labor dollars.

D) All of these answers are correct.

20) Which of the following journal entries would be made to apply the cost of indirect labor to production?

A)

Work-in-Process Inventory

Manufacturing Overhead-Control

 

B)

Manufacturing Overhead-Control

Payroll Payable                                  

 

C)

Finished Goods Inventory

Manufacturing Overhead-Control

 

D)

Work-in-Process Inventory

Manufacturing Overhead-Applied