Question :
69.Refer to the information above. The amount of direct materials : 1259585
69.Refer to the information above. The amount of direct materials cost charged to completed jobs during March was:
A. $20,000.
B. $50,000.
C. $30,000.
D. Some other amount.
70.Refer to the information above. The predetermined overhead application rate at Capri Boat is what percentage of direct labor costs?
A. 38%.
B. 62%.
C. 260%.
D. 580%.
71.Refer to the information above. The amount of overhead costs applied to Job #007 during March was:
A. $90,000.
B. $26,250.
C. $65,000.
D. $60,000.
72.Refer to the information above. The journal entry which accounts for the $300,000 transferred out of Work in Process account includes a debit of $300,000 to:
A. Finished Goods.
B. Cost of Goods Sold.
C. Accounts Receivable.
D. Sales.
Canfield Construction applies overhead to its projects at a rate of $65 per direct labor hour. Laborers are paid an average rate of $30 per hour. The Jefferson Apartments project was charged a total of $1,200,000 in direct materials and $450,000 in direct labor costs.
73.Refer to the information above. Overhead applied to the Jefferson Apartments project amounted to:
A. $450,000.
B. $650,000.
C. $975,000.
D. Some other amount.
74.Refer to the information above. The journal entry to transfer the completed Jefferson Apartments project to Canfield’s finished goods inventory would include:
A. A debit to the Finished Goods Inventory account of $975,000.
B. A debit to the Finished Goods Inventory account of $2,625,000.
C. A debit to the Finished Goods Inventory account of $1,650,000.
D. A credit to the Work in Process Inventory account of $2,175,000.
75.Refer to the information above. The journal entry made by Canfield to record the sale of the Jefferson Apartments project to King Development Company for $5,250,000 would include:
A. A debit to Sales of $5,250,000.
B. A debit to Cost of Goods Sold of $2,625,000.
C. A credit to Finished Goods Inventory of $975,000.
D. A debit to Finished Goods Inventory of $975,000.
76.Which of the following statements is true about activity-based costing?
A. Only one activity should be used for a company.
B. Many different activity bases are used in applying overhead.
C. There can only be one cost driver.
D. Direct materials and direct labor are applied to work-in-process based upon cost drivers.
77.In an activity-based costing system, manufacturing overhead costs are divided into separate:
A. Cost drivers.
B. Activity cost pools.
C. Activity bases.
D. Indirect cost centers.
78.Benefits of activity-based costing include all of the following except:
A. More accurate measures of product costs.
B. More accurate evaluations of product profitability.
C. A better understanding of what “drives” manufacturing overhead costs.
D. More subjective product pricing decisions.
