FiltersDone

Question type

Essay

Multiple Choice

Short Answer

True False

Matching

Exam 4: Costvolumeprofit Cvp Analysis

Show Answer

Share

---

All types

Filters

Study FlashcardsPractice ExamLearn

Question 31

Multiple Choice

Review LaterAdd Note

Review Later

The use of the FIFO method would result in the quantity schedule of a company's production report showing

A) units transferred out as one amount with no distinction made for beginning stock.
B) units transferred out as two amounts-one for beginning stock and the other for units started and completed during the month.
C) units transferred out as two amounts-one for units completed during the period and one for ending stock.
D) units transferred out as three amounts-one for beginning stock, one for units started and completed during the period, and one for ending stock.

E) A) and C)
F) B) and D)

Correct Answer

verified

Show Answer

Question 32

True/False

Review LaterAdd Note

Review Later

If the FIFO cost method is being used in a process costing system, costs in the beginning stock are kept separate from current period costs

A) True
B) False

Correct Answer

verified

Show Answer

Question 33

Multiple Choice

Review LaterAdd Note

Paceheco Company uses the weighted-average method in its process costing system. The Molding Department is the second department in its production process. The data below summarise the department's operations in January. $\begin{array}{lrr}&&\text {Percent}\\&\text { Units}&\text { complete }\\ \text { Beginning work in process stock } &5,100&70 \%\\ \text {Transferred in from the prior department during January. } &59,000\\\text { Completed and transferred to the next department during } &56,000\\ \text { January } &56,800\\ \text { Ending work in process stock.} &7,300&40\%\\\end{array}$ The accounting records indicate that the conversion cost that had been assigned to beginning work in process stock was £34,558 and a total of £559,254 in conversion costs were incurred in the department during January. What was the cost per equivalent unit for conversion costs for January in the Molding Department? (Round off to three decimal places.)

Bradford Electronics uses the weighted-average method in its process costing system. Data concerning the first processing department for the most recent month is listed below: - Note: Your answers may differ from those offered below due to rounding error. In all cases, select the answer that is the closest to the answer you computed. To reduce rounding error, carry out all computations to at least three decimal places. The cost per equivalent unit for materials for the month in the first processing department is closest to:

Norfolk Engineering uses the weighted-average method in its process costing system. This month, the beginning stock in the first processing department consisted of 700 units. The costs and percentage completion of these units in beginning stock were: $\begin{array}{lrr}&& \text { Percent}\\& \text { cost}& \text { complete}\\ \text { Materials costs } &£ 12,000& 65 \%\\ \text { Conversion costs } &£ 2,000 & 10 \%\\\end{array}$ A total of 9,200 units were started and 8,300 units were transferred to the second processing department during the month. The following costs were incurred in the first processing department during the month: $\begin{array}{l}\text { Materials costs ............ }&£200,800 \\\text { Conversion costs ......... }&£225,500 \\\end{array}$ The ending stock was 75% complete with respect to materials and 15% complete with respect to conversion costs. Note: Your answers may differ from those offered below due to rounding error. In all cases, select the answer that is the closest to the answer you computed. To reduce rounding error, carry out all computations to at least three decimal places. -The total cost transferred from the first processing department to the next processing department during the month is closest to:

Jolly Company uses the FIFO method in its process costing system. Beginning stock in the mixing processing center consisted of 4,000 units, 75% complete with respect to conversion costs. Ending work in process stock consisted of 3,000 units, 60% complete with respect to conversion costs. If 12,000 units were transferred to the next processing center during the period, the equivalent units for conversion costs would be

Bradford Electronics uses the weighted-average method in its process costing system. Data concerning the first processing department for the most recent month is listed below: -Note: Your answers may differ from those offered below due to rounding error. In all cases, select the answer that is the closest to the answer you computed. To reduce rounding error, carry out all computations to at least three decimal places. The cost of ending work in process stock in the first processing department according to the company's cost system is closest to:

Stover Company uses the weighted-average method in its process costing system. Information concerning Department A for the month of June follows: $\quad$ $\quad$ $\quad$ $\quad$ $\quad$ $\quad$ $\quad$ $\quad$ $\quad$ $\quad$ $\quad$ $\quad$ $\quad$ Materials $\begin{array}{lrr}&\text { Units}&\text { costs }\\ \text { Work in process, beginning } &17,000 &£ 12,800\\ \text { Started in June. } &82,000&69,700\\ \text { Units completed } &85,000\\ \text { Work in process, ending } &14,000\end{array}$ All materials are added at the beginning of the process. The cost per equivalent unit for materials costs is closest to:

Norfolk Engineering uses the weighted-average method in its process costing system. This month, the beginning stock in the first processing department consisted of 700 units. The costs and percentage completion of these units in beginning stock were: $\begin{array}{lrr}&& \text { Percent}\\& \text { cost}& \text { complete}\\ \text { Materials costs } &£ 12,000& 65 \%\\ \text { Conversion costs } &£ 2,000 & 10 \%\\\end{array}$ A total of 9,200 units were started and 8,300 units were transferred to the second processing department during the month. The following costs were incurred in the first processing department during the month: $\begin{array}{l}\text { Materials costs ............ }&£200,800 \\\text { Conversion costs ......... }&£225,500 \\\end{array}$ The ending stock was 75% complete with respect to materials and 15% complete with respect to conversion costs. Note: Your answers may differ from those offered below due to rounding error. In all cases, select the answer that is the closest to the answer you computed. To reduce rounding error, carry out all computations to at least three decimal places. - The cost per equivalent unit for conversion costs for the first department for the month is closest to:

Under the FIFO method, unit costs would

Bradford Electronics uses the weighted-average method in its process costing system. Data concerning the first processing department for the most recent month is listed below: -Note: Your answers may differ from those offered below due to rounding error. In all cases, select the answer that is the closest to the answer you computed. To reduce rounding error, carry out all computations to at least three decimal places. The cost per equivalent whole unit for the month in the first processing department is closest to:

A company has two processing departments: A andB. Which of the following entries or sets of journal entries would be used to record the transfer between processing departments and from the final processing department to finished goods? a.Work in Process-Department B $\quad$ XXX Work in Process-Department A $\quad$ $\quad$ $\quad$ XXX Finished Goods $\quad$ $\quad$ $\quad$ $\quad$ $\quad$ $\quad$ XXX Work in Process Department B $\quad$ $\quad$ $\quad$ XXX b. Finished Goods $\quad$ XXX Work in Process $\quad$$\quad$$\quad$$\quad$ XXX c. Work in Process-Department B $\quad$$\quad$ XXX Work in Process-Department A $\quad$$\quad$ $\quad$$\quad$ XXX Cost of Goods Sold $\quad$$\quad$ XXX Work in Process-Department B $\quad$$\quad$ XXX d. Finished Goods $\quad$$\quad$ XXX Work in Process-Department A $\quad$$\quad$ XXX Finished Goods $\quad$$\quad$ XXX Work in Process-Department B $\quad$$\quad$ XXX

A process cost system would be used to account for the cost of manufacturing an oil tanker.

Draw your own model of a process costing system without looking at the book. Choose a particular type of industry to illustrate this.

Leeds Electronics uses the FIFO method in its process costing system. Data concerning the first processing department for the most recent month is listed below: - Note: Your answers may differ from those offered below due to rounding error. In all cases, select the answer that is the closest to the answer you computed. To reduce rounding error, carry out all computations to at least three decimal places. What are the equivalent units for materials for the month in the first processing department?

A process costing system

A process costing system would be best suited for production of a large quantity of a homogeneous product

Janner Company uses the weighted-average method in its process costing system. Operating data for the Painting Department for the month of April appear below: $\begin{array}{lrr}&&\text {Percent}\\&\text { Units}&\text { complete }\\ \text { Beginning work in process stock} &4,000 &50 \%\\ \text {Transferred in from the prior department during April } &90,400\\ \text { Ending work in process stock } &1,600& 60 \%\\\end{array}$ What were the equivalent units for conversion costs in the Painting Department for April?

Explain how a process system might be used by Toyota cars

Equivalent units for a process costing system using the weighted-average method would be equal to