71. Jones Manufacturing Inc. incurred the following costs in November:
Direct labor
$50,000
Advertising costs
$ 3,000
Indirect labor
20,000
Factory rent
10,000
Administrative salaries
25,000
Factory depreciation
6,000
Direct materials purchased
23,000
Administrative rent
5,000
Indirect materials used
4,000
Administrative depreciation
7,000
In addition, the following information is also available:
Beginning
Ending
Raw materials
$ 5,000
$ 8,000
Work-in-process
60,000
55,000
Finished goods
17,250
9,200
Number of units produced
20,000 units
Number of units sold
(sales price of $25 per unit)
21,400 units
Refer to the Jones Manufacturing Inc. information above. The product cost per unit in November is: A. $4.55B. $7.75C. $5.75D. $5.37
72. Jones Manufacturing Inc. incurred the following costs in November:
Direct labor
$50,000
Advertising costs
$ 3,000
Indirect labor
20,000
Factory rent
10,000
Administrative salaries
25,000
Factory depreciation
6,000
Direct materials purchased
23,000
Administrative rent
5,000
Indirect materials used
4,000
Administrative depreciation
7,000
In addition, the following information is also available:
Beginning
Ending
Raw materials
$ 5,000
$ 8,000
Work-in-process
60,000
55,000
Finished goods
17,250
9,200
Number of units produced
20,000 units
Number of units sold
(sales price of $25 per unit)
21,400 units
Refer to the Jones Manufacturing Inc. information above. Net income for November is: (ignore taxes) A. $371,950B. $411,950C. $369,150D. $382,000
73. Johnson Manufacturing has the following selected information available for the year:
Direct material purchased
$ 40,000
Direct material used
45,000
Direct labor incurred
75,000
Manufacturing overhead incurred
50,000
Cost of goods manufactured
100,000
In addition, the cost of the finished goods inventory increased by $10,000 from the beginning to the end of the year. Cost of goods sold for the year is: A. $ 80,000B. $170,000C. $ 90,000D. $110,000
74. Chancellor Industries, a manufacturing company, prepays its insurance coverage for a two-year period. The premium for two-year’s worth of coverage is $14,400 and is paid at the beginning of the first year. Two-thirds of the premium relates to factory operations and one-third relates to selling and administrative activities.The amount of premium that should be recorded as a product cost for the first year is: A. $ 4,800 B. $ 2,400C. $ 9,600D. $14,400
75. Clapton Inc. would like to prepare an income statement for March. Their production department records show that total product costs in March were $225,000 when 50,000 units were produced. Their sales department records show that 46,000 units were sold for $16 each. Monthly administrative and marketing expenses totaled $60,000. What should be net income for March? A. $529,000B. $473,800C. $451,000D. $469,000
76. Which of the following statements is true regarding period costs? A. They “attach” themselves to the product.B. They will appear the balance sheet until the product is sold.C. They will appear on the income statement in the year they are incurred.D. They will not impact gross margin or net income.
77. Franklin Street Manufacturing has the following cost information available for 2005:
Direct materials used
$10,000
Direct labor costs
25,000
Factory overhead
20,000
Marketing expenses
4,000
Administrative expenses
6,000
20,000 units were produced during the year out of which 19,000 units were sold for $10 each. Refer to the Franklin Street Manufacturing information above. What is cost of goods sold for 2005? A. $55,000B. $52,250C. $61,750D. $65,000
78. Franklin Street Manufacturing has the following cost information available for 2005:
Direct materials used
$10,000
Direct labor costs
25,000
Factory overhead
20,000
Marketing expenses
4,000
Administrative expenses
6,000
20,000 units were produced during the year out of which 19,000 units were sold for $10 each. Refer to the Franklin Street Manufacturing information above. Out of the above costs, what amount remains on the balance sheet at the end of 2005? A. $ 2,750B. $12,750C. $10,000D. $ 3,250
79. Franklin Street Manufacturing has the following cost information available for 2005:
Direct materials used
$10,000
Direct labor costs
25,000
Factory overhead
20,000
Marketing expenses
4,000
Administrative expenses
6,000
20,000 units were produced during the year out of which 19,000 units were sold for $10 each. Refer to the Franklin Street Manufacturing information above. What is net income for 2005? A. $127,750B. $137,750C. $125,000D. $128,250
80. Brenda’s Bakery has the following information available for October:
Beginning
Ending
Raw materials
$ 4,000
$ 2,000
Work-in-process
32,000
17,000
Finished goods
5,000
3,000
Cost of goods manufactured
88,000
Cost of goods sold
90,000
Direct labor costs
35,000
Factory rent and depreciation
10,000
Selling expenses
3,000
How much raw material was purchased in October? A. $23,000B. $25,000C. $26,000D. $28,000
Delivering a high-quality product at a reasonable price is not enough anymore.
That’s why we have developed 5 beneficial guarantees that will make your experience with our service enjoyable, easy, and safe.
You have to be 100% sure of the quality of your product to give a money-back guarantee. This describes us perfectly. Make sure that this guarantee is totally transparent.
Read moreEach paper is composed from scratch, according to your instructions. It is then checked by our plagiarism-detection software. There is no gap where plagiarism could squeeze in.
Read moreThanks to our free revisions, there is no way for you to be unsatisfied. We will work on your paper until you are completely happy with the result.
Read moreYour email is safe, as we store it according to international data protection rules. Your bank details are secure, as we use only reliable payment systems.
Read moreBy sending us your money, you buy the service we provide. Check out our terms and conditions if you prefer business talks to be laid out in official language.
Read more