Question :
81. Which of the following considered a part of factory overhead : 1234294
81. Which of the following is considered a part of factory overhead cost? A. Sales commissionsB. Depreciation of factory buildingsC. Depreciation of office equipmentD. Direct materials used
82. Which of the following manufacturing costs is an indirect cost of producing a product? A. Oil lubricants used for factory machineryB. Commissions for sales personnelC. Hourly wages of an assembly workerD. Memory chips for a microcomputer manufacturer
83. Prime costs are A. direct materials and factory overheadB. direct materials and direct laborC. direct labor and factory overheadD. period costs and factory overhead
84. Conversion costs are A. direct materials and direct laborB. direct materials and factory overheadC. factory overhead and direct laborD. direct materials and indirect labor
85. Which of the following is not a prime cost? A. Supervisor’s wagesB. Direct labor wagesC. Machine operator wagesD. Assembly line wages
86. The following are all product costs except: A. Direct materialsB. Sales and administrative expensesC. Direct laborD. Factory overhead
87. One on the following will not be found on the balance sheet of a manufacturing company. A. cost of goods soldB. materialsC. work in processD. finished goods
88. In the income statement of a manufacturing company, what replaces purchases in the cost of goods section of a retail company? A. Finished goodsB. Cost of merchandise availableC. Cost of goods manufacturedD. Work in process completed
89. What is the purpose of the Statement of Cost of Goods Manufactured? A. to determine the ending materials inventoryB. to determine the ending work in process inventoryC. to determine the amounts transferred to finished goodsD. all of the answers are true
90. Which of the following accounts will be found on the income statement? A. inventoryB. work in processC. finished goodsD. cost of merchandise sold
91. All of the following are ways that managers use managerial information except A. to evaluate the company’s stock performanceB. to evaluate the performance of a company’s operationsC. to support long-term planning decisionsD. to determine the cost of manufacturing a product
92. The aspects of the management process are listed below. Match each phase to the appropriate description.__________ Planning__________ Directing__________ Controlling__________ Improving__________ Decision making(a) Used by managers for continuous improvement(b) Managers must decide how to respond to unfavorable performances(c) Used by management to develop the organization’s objectives and goals(d) Monitoring the operating results of implemented plans and comparing actual results(e) Managers run their day to day activities
93. Identify the following costs as (a) direct materials, (b) direct labor, or (c) factory overhead for a cake manufacturer.1. __________ Frosting2. __________ Depreciation on oven3. __________ Wages of bakers4. __________ Sprinkles for topping
94. Identify the following costs as (a) prime cost, (b) conversion cost, (c) or both for a cake factory.1. __________ Frosting2. __________ Wages of the baker3. __________ Sprinkles for the topping4. __________ Depreciation on oven
95. Identify the following costs as a (a) product cost or (b) period cost for a cake factory.1. __________ Frosting2. __________ Baker’s wages3. __________ Advertising fees4. __________ Transportation out
96. The Cake Factory has the following information for the month March. Determine the (a) cost of goods manufactured, and (b) cost of goods sold.
Cost of materials placed in production
$69,000
Direct labor
25,000
Factory overhead
34,000
Work in process, March 1
17,000
Work in process, March 31
18,500
Finished goods inventory, March 1
21,000
Finished goods inventory, March 31
23,000
97. The Cake Factory has the following information for the month of March. Prepare a (a) schedule of cost of goods manufactured, (b) an income statement for the month ended March 31, and (c) prepare only the inventory section of the balance sheet.
Purchases
$85,000
Materials inventory, March 1
6,000
Materials inventory, March 31
7,000
Direct labor
25,000
Factory overhead
34,000
Work in process, March 1
17,000
Work in process, March 31
18,500
Finished goods inventory, March 1
21,000
Finished goods inventory, March 31
23,000
Sales
235,000
Sales and administrative expenses
78,000
