121. A manufacturing company applies factory overhead based on direct labor hours. At the beginning.

 
   

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121. A manufacturing company applies factory overhead based
on direct labor hours. At the beginning of the year, it estimated that factory
overhead costs would be $360,000 and direct labor hours would be 30,000. Actual
manufacturing overhead costs incurred were $377,200, and actual direct labor
hours were 36,000. The entry to apply the factory overhead costs for the year
would include a
A. debit to factory overhead for $360,000.
B. credit to factory overhead for $432,000.
C. debit to factory overhead for $377,200.
D. credit to factory overhead for $360,000.

122. Bar code scanners are now being used to track incoming
materials and to electronically transmit this data. Scanners have replaced
which of the following:
A. receiving report
B. materials requisition
C. materials ledger
D. job cost sheet

123. A separate account for each material is found in a
A. general ledger
B. materials ledger
C. receiving report
D. job cost sheet

124. The materials requisition is used to
A. release materials from the storeroom to the factory
B. release finished goods to the shipping department
C. record the acquisition of materials from a vendor
D. record and electronically transmit materials data in place of a
receiving report

125. Period costs are
A. found on the balance sheet.
B. not involved in the production process.
C. classified as direct labor, direct material, or factory overhead.
D. found on the job order cost sheets.

126. Generally, period costs are classified as either
A. selling expenses or production expenses.
B. administrative expense or production expenses.
C. selling expenses or administrative expenses.
D. general expenses or selling expenses.

127. The following are true regarding product costs
except
A. product costs are found on the balance sheet until they are sold.
B. product costs consist of direct labor, direct materials, and factory
overhead.
C. product costs can be found in three accounts in the balance sheet.
D. product costs include sales and administrative expenses.

128. Job cost sheets can provide information to managers for
all but the following:
A. cost impact of materials changes
B. cost impact of continuous improvement in the manufacturing process
C. cost impact of materials price or direct labor rate changes over time
D. utilities, managerial salaries, and depreciation of computers in the
corporate office

129. A difference in quantity of materials used on two
comparable jobs may be caused by:
A. inadequately trained employees
B. poor quality materials
C. employee carelessness
D. all of the above

130. Which of the following would probably not be found in
the accounting system of a service provider?
A. Cost ledger
B. Finished jobs ledger
C. Deferred revenue account
D. Job cost sheets