Quiz
1.
Question :
(TCO F) For which situation(s) below would an organization be more likely to use a job-order costing system of accumulating product costs rather than a process costing system?
Student Answer:
A steel factory that processes iron ore into steel bars
A factory that processes sugar and other ingredients into black licorice
A costume maker that makes specialty costumes for figure skaters
All of these Instructor Explanation:
Chapter 3
Points Received:
5 of 5 Comments:
Question 2.
Question :
(TCO F) Which of the following companies would be most likely to use a job-order costing system rather than a process costing system?
Student Answer:
Fast food restaurant
Shipbuilding
Crude oil refining
Candy making Instructor Explanation:
Chapter 3
Points Received:
5 of 5 Comments:
Question 3.
Question :
(TCO F) Unizat Corporation uses the weighted-average method in its process costing system. The following information pertains to one of the company's processing departments for a recent month:
Units
Material Cost
Beginning work in process
30,000
$22,000
Started during the month
80,000
$72,000
Units completed
85,000
Ending work in process
25,000
All materials are added at the beginning of the process. The cost per equivalent unit for materials is closest to:
Student Answer:
$0.86
$0.90
$1.10
$1.18 Instructor Explanation:
To solve for ending work in process: + Work in process, beginning
30,000
+ Units started into production during the month
80,000
- Units completed and transferred out during the month
85,000
= Work in process, ending
25,000
Equivalent Units of Production
Materials
Transferred to next department
85,000
Ending work in process Material
25,000
Equivalent units of production
110,000
Cost per
Question :
(TCO F) For which situation(s) below would an organization be more likely to use a job-order costing system of accumulating product costs rather than a process costing system?
Student Answer:
A steel factory that processes iron ore into steel bars
A factory that processes sugar and other ingredients into black licorice
A costume maker that makes specialty costumes for figure skaters
All of these Instructor Explanation:
Chapter 3
Points Received:
5 of 5 Comments:
Question 2.
Question :
(TCO F) Which of the following companies would be most likely to use a job-order costing system rather than a process costing system?
Student Answer:
Fast food restaurant
Shipbuilding
Crude oil refining
Candy making Instructor Explanation:
Chapter 3
Points Received:
5 of 5 Comments:
Question 3.
Question :
(TCO F) Unizat Corporation uses the weighted-average method in its process costing system. The following information pertains to one of the company's processing departments for a recent month:
Units
Material Cost
Beginning work in process
30,000
$22,000
Started during the month
80,000
$72,000
Units completed
85,000
Ending work in process
25,000
All materials are added at the beginning of the process. The cost per equivalent unit for materials is closest to:
Student Answer:
$0.86
$0.90
$1.10
$1.18 Instructor Explanation:
To solve for ending work in process: + Work in process, beginning
30,000
+ Units started into production during the month
80,000
- Units completed and transferred out during the month
85,000
= Work in process, ending
25,000
Equivalent Units of Production
Materials
Transferred to next department
85,000
Ending work in process Material
25,000
Equivalent units of production
110,000
Cost per