Question : 49.Marty’s Metal Shop uses a job order cost system. It : 1259583

 

 

49.Marty’s Metal Shop uses a job order cost system. It applies overhead to jobs at a rate of 175% of direct labor costs. Job No. 2617 required $800 in direct labor costs. The job was initially budgeted to require $850 in direct labor costs. Overhead applied to Job No. 2617 during the period amounted to:   

A. $850.

 

B. $1,400.

 

C. $1,275.

 

D. Some other amount.

 

 

 

Riverview Company’s budget for the coming year includes $6,000,000 for manufacturing overhead, 50,000 hours of direct labor, and 250,000 hours of machine time.

 

50.Refer to the above data. If Riverview applies overhead using a predetermined rate based on machine-hours, what amount of overhead will be assigned to a unit of output which requires 0.5 machine hours and 0.25 labor hours to complete?   

A. $12.00.

 

B. $16.00.

 

C. $20.00.

 

D. Some other amount.

 

 

 

51.Refer to the above data. If Riverview applies overhead using a predetermined rate based on labor-hours, what amount of overhead will be assigned to a unit of output which requires 0.5 machine hours and 0.25 labor hours to complete?   

A. $16.00.

 

B. $30.00.

 

C. $20.00.

 

D. Some other amount.

 

 

 

52.A job cost sheet usually contains a record of each of the following except:   

A. The cost of direct materials charged to a particular job.

 

B. The overhead costs actually incurred on a particular job.

 

C. The cost of direct labor charged to a particular job.

 

D. The overhead cost applied to a particular job.

 

 

 

 

53.Which of the following costing systems would always use job cost sheets?   

A. Job order costing.

 

B. Process costing.

 

C. Activity-based costing.

 

D. All three systems.

 

 

 

 

54.A job cost sheet should:   

A. Contain information that summarizes all jobs finished.

 

B. Contain information on each individual job in process.

 

C. Contain only the direct costs of a particular job.

 

D. Only be used for jobs that have been completed.

 

 

 

 

55.The document that provides information for the cost of goods manufactured is:   

A. The job cost sheet.

 

B. Time cards.

 

C. Material requisition.

 

D. Payroll check.

 

 

 

 

56.A job cost sheet will include:   

A. All raw materials purchased.

 

B. Actual overhead.

 

C. Direct labor applied to production.

 

D. Selling costs.

 

 

 

 

57.A job order cost system traces direct materials cost to a particular job by means of:   

A. Materials requisitions.

 

B. A production budget.

 

C. The Materials Inventory controlling account.

 

D. A debit to the job cost sheet for the job.

 

 

 

 

58.At the end of the accounting period, applied overhead was larger than actual overhead by a material amount. The over-applied overhead should be:   

A. Treated as an extraordinary gain.

 

B. Treated as an extraordinary loss.

 

C. Apportioned among Work in Process Inventory, Finished Goods Inventory, and Cost of Goods Sold.

 

D. Ignored; actual overhead is determined only for internal control purposes.