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2. The cost flows for a process-costing system are totally different from those of a job order costing system.
a. True
b. False
ANSWER: False
POINTS: 1
DIFFICULTY: Moderate
QUESTION TYPE: True / False
HAS VARIABLES: False
LEARNING OBJECTIVES: COCM.HANS.18.6-1 - LO: 06.01
NATIONAL STANDARDS: United States - BUSPROG - Analytic
STATE STANDARDS: United States - v1 - ACBSP-APC-34 - Job Order Costing
United States - v1 - ACBSP-APC-35 - Process Costing
United States - v1 - AICPA-10 - FN-Measurement
United States - v1 - IMA-07 - Cost Management
KEYWORDS: Bloom's - Understanding
NOTES: Time Estimate - 5 min.
DATE CREATED: 10/7/2016 9:31 AM
DATE MODIFIED: 10/7/2016 9:31 AM
QUESTION ID: JFND-GO33-GINW-GCBO
QUESTION GLOBAL ID: GCID-E7BW-1TBP-G7OU-1AJT-CTTU-GCBT-8FTN-4PTO-CEHN-4CJO-8Y4N-4PDD-
GPT1-4QDD-GE4U-RPJZ-C3DI-GWN8-EPRW-EMJA-CCHD-GCUG-CC4D-NATI-8YSU-
NCJW-CRSS-KQJO-GOSU-G3UR-GRSS-CPBT-CTOU-QQBZ-E7JI-YT4D-JFNN-4OTI-
3. Process systems are characterized by a larger number of homogeneous products passing through a series of processes.
a. True
b. False
ANSWER: True
POINTS: 1
DIFFICULTY: Easy
QUESTION TYPE: True / False
HAS VARIABLES: False
LEARNING OBJECTIVES: COCM.HANS.18.6-1 - LO: 06.01
NATIONAL STANDARDS: United States - BUSPROG - Analytic
STATE STANDARDS: United States - v1 - ACBSP-APC-35 - Process Costing
United States - v1 - AICPA-10 - FN-Measurement
United States - v1 - IMA-07 - Cost Management
KEYWORDS: Bloom's - Understanding
NOTES: Time Estimate - 5 min.
DATE CREATED: 10/7/2016 9:31 AM
DATE MODIFIED: 10/7/2016 9:31 AM
QUESTION ID: JFND-GO33-GINW-GCBZ
QUESTION GLOBAL ID: GCID-E7BW-1TBP-G7OU-1AJT-CTTU-GCBT-8FTN-4PTO-CEHN-4CJO-8Y4N-4PDD-
GPT1-4QDD-GE4U-RPJZ-C3DI-GWN8-EPRW-EMMF-CE4D-CAMR-GH5U-1QBO-
COSU-QA5G-8YSU-1ATA-GOSU-NCDG-GYSU-OQJ1-C31G-EC3Z-E7JI-YT4D-JFNN-
4OTI-GO4W-NQNBEE
4. The production report is the document that summarizes the manufacturing activity that takes place in a work-in-process
department.
a. True
b. False
ANSWER: False
POINTS: 1
DIFFICULTY: Easy
QUESTION TYPE: True / False
HAS VARIABLES: False
LEARNING OBJECTIVES: COCM.HANS.18.6-1 - LO: 06.01
NATIONAL STANDARDS: United States - BUSPROG - Analytic
STATE STANDARDS: United States - v1 - ACBSP-APC-35 - Process Costing
United States - v1 - AICPA-10 - FN-Measurement
United States - v1 - IMA-07 - Cost Management
KEYWORDS: Bloom's - Remembering
NOTES: Time Estimate - 5 min.
DATE CREATED: 10/7/2016 9:31 AM
DATE MODIFIED: 10/7/2016 9:31 AM
QUESTION ID: JFND-GO33-GINW-GCBS
QUESTION GLOBAL ID: GCID-E7BW-1TBP-G7OU-1AJT-CTTU-GCBT-8FTN-4PTO-CEHN-4CJO-8Y4N-4PDD-
Copyright Cengage Learning. Powered by Cognero. Page 2
Chapter 6
GPT1-4QDD-GE4U-RPJZ-C3DI-GWN8-EPRW-EMJ1-GOHD-N3JA-GY4G-CQJ1-CRSU-
GPMR-8RSS-NC5D-GOSU-13BA-CWSS-GPBO-G71G-K3BI-E7JI-YT4D-JFNN-4OTI-
GO4W-NQNBEE
5. Many service organizations and just-in-time (JIT) manufacturing firms operate in an environment without work-in-
process inventories.
a. True
b. False
ANSWER: True
POINTS: 1
DIFFICULTY: Easy
QUESTION TYPE: True / False
HAS VARIABLES: False
LEARNING OBJECTIVES: COCM.HANS.18.6-2 - LO: 06.02
NATIONAL STANDARDS: United States - BUSPROG - Analytic
STATE STANDARDS: United States - v1 - ACBSP-APC-27 - Managerial Accounting Features/Costs
United States - v1 - AICPA-10 - FN-Measurement
United States - v1 - IMA-11 - Strategic Planning
KEYWORDS: Bloom's - Understanding
NOTES: Time Estimate - 5 min.
DATE CREATED: 10/7/2016 9:31 AM
DATE MODIFIED: 10/7/2016 9:31 AM
QUESTION ID: JFND-GO33-GINW-GCBI
QUESTION GLOBAL ID: GCID-E7BW-1TBP-G7OU-1AJT-CTTU-GCBT-8FTN-4PTO-CEHN-4CJO-8Y4N-4PDD-
GPT1-4QDD-GE4U-RPJZ-C3DI-GWN8-EPRW-EMJZ-G31D-KC5N-GE5U-CP5N-GOSS-
GAJU-8RSS-NQJS-GOSU-OC3W-GCSU-O3BI-GWAS-EPTO-E7JI-YT4D-JFNN-4OTI-
GO4W-NQNBEE
6. Services that are basically homogeneous and repetitive cannot take advantage of a process-costing approach.
a. True
b. False
ANSWER: False
POINTS: 1
DIFFICULTY: Easy
QUESTION TYPE: True / False
HAS VARIABLES: False
LEARNING OBJECTIVES: COCM.HANS.18.6-2 - LO: 06.02
NATIONAL STANDARDS: United States - BUSPROG - Analytic
STATE STANDARDS: United States - v1 - ACBSP-APC-35 - Process Costing
United States - v1 - AICPA-10 - FN-Measurement
United States - v1 - IMA-07 - Cost Management
KEYWORDS: Bloom's - Understanding
NOTES: Time Estimate - 5 min.
DATE CREATED: 10/7/2016 9:31 AM
DATE MODIFIED: 10/7/2016 9:31 AM
7. In JIT manufacturing, work cells are created that produce a product from start to finish.
a. True
b. False
ANSWER: True
POINTS: 1
DIFFICULTY: Easy
QUESTION TYPE: True / False
HAS VARIABLES: False
LEARNING OBJECTIVES: COCM.HANS.18.6-2 - LO: 06.02
NATIONAL STANDARDS: United States - BUSPROG - Analytic
STATE STANDARDS: United States - v1 - ACBSP-APC-27 - Managerial Accounting Features/Costs
United States - v1 - AICPA-10 - FN-Measurement
United States - v1 - IMA-11 - Strategic Planning
KEYWORDS: Bloom's - Understanding
NOTES: Time Estimate - 5 min.
DATE CREATED: 10/7/2016 9:31 AM
DATE MODIFIED: 10/7/2016 9:31 AM
QUESTION ID: JFND-GO33-GINW-GCKN
QUESTION GLOBAL ID: GCID-E7BW-1TBP-G7OU-1AJT-CTTU-GCBT-8FTN-4PTO-CEHN-4CJO-8Y4N-4PDD-
GPT1-4QDD-GE4U-RPJZ-C3DI-GWN8-EPRW-EMJZ-GRHU-Q3T3-CI1D-RQDB-GOSU-
NP3Z-CRSU-YCJU-GOSU-QAMB-8YSU-OCMR-CC5G-GQJ1-E7JI-YT4D-JFNN-4OTI-
GO4W-NQNBEE
8. In firms with ending work-in-process inventories, output is measured using equivalent units.
a. True
b. False
ANSWER: True
POINTS: 1
DIFFICULTY: Easy
QUESTION TYPE: True / False
HAS VARIABLES: False
LEARNING OBJECTIVES: COCM.HANS.18.6-3 - LO: 06.03
NATIONAL STANDARDS: United States - BUSPROG - Analytic
STATE STANDARDS: United States - v1 - ACBSP-APC-35 - Process Costing
United States - v1 - AICPA-10 - FN-Measurement
United States - v1 - IMA-07 - Cost Management
KEYWORDS: Bloom's - Understanding
NOTES: Time Estimate - 5 min.
DATE CREATED: 10/7/2016 9:31 AM
9. Equivalent units are the incomplete units that could have been produced given the total amount of effort expended.
a. True
b. False
ANSWER: False
POINTS: 1
DIFFICULTY: Easy
QUESTION TYPE: True / False
HAS VARIABLES: False
LEARNING OBJECTIVES: COCM.HANS.18.6-3 - LO: 06.03
NATIONAL STANDARDS: United States - BUSPROG - Analytic
STATE STANDARDS: United States - v1 - ACBSP-APC-35 - Process Costing
United States - v1 - AICPA-10 - FN-Measurement
United States - v1 - IMA-07 - Cost Management
KEYWORDS: Bloom's - Understanding
NOTES: Time Estimate - 5 min.
DATE CREATED: 10/7/2016 9:31 AM
DATE MODIFIED: 10/7/2016 9:31 AM
QUESTION ID: JFND-GO33-GINW-GCJ3
QUESTION GLOBAL ID: GCID-E7BW-1TBP-G7OU-1AJT-CTTU-GCBT-8FTN-4PTO-CEHN-4CJO-8Y4N-4PDD-
GPT1-4QDD-GE4U-RPJZ-C3DI-GWN8-EPRW-EMMF-CCAG-K3DG-GW4U-RAUG-
COSU-EA3T-8RSU-EPMB-GOSS-CCT3-CWSS-GCTU-GI1U-GC3I-E7JI-YT4D-JFNN-
4OTI-GO4W-NQNBEE
10. In a process-costing system, work-in-process inventory, materials are added uniformly so that multiple calculations of
equivalent units are needed for each type of input.
a. True
b. False
ANSWER: False
POINTS: 1
DIFFICULTY: Easy
QUESTION TYPE: True / False
HAS VARIABLES: False
LEARNING OBJECTIVES: COCM.HANS.18.6-3 - LO: 06.03
NATIONAL STANDARDS: United States - BUSPROG - Analytic
STATE STANDARDS: United States - v1 - ACBSP-APC-35 - Process Costing
United States - v1 - AICPA-10 - FN-Measurement
United States - v1 - IMA-07 - Cost Management
KEYWORDS: Bloom's - Understanding
NOTES: Time Estimate - 5 min.
Copyright Cengage Learning. Powered by Cognero. Page 5
Chapter 6
DATE CREATED: 10/7/2016 9:31 AM
DATE MODIFIED: 10/7/2016 9:31 AM
QUESTION ID: JFND-GO33-GINW-GCJA
QUESTION GLOBAL ID: GCID-E7BW-1TBP-G7OU-1AJT-CTTU-GCBT-8FTN-4PTO-CEHN-4CJO-8Y4N-4PDD-
GPT1-4QDD-GE4U-RPJZ-C3DI-GWN8-EPRW-EMMB-8F1S-CC5G-CI1D-CCMD-GRSU-
RQJT-8YSU-GAUF-GOSU-KAUF-CESU-1PBZ-GE3U-KCBA-E7JI-YT4D-JFNN-4OTI-
GO4W-NQNBEE
11. The FIFO costing method recognizes that the work and costs carried over from the prior period legitimately belong to
that period.
a. True
b. False
ANSWER: True
POINTS: 1
DIFFICULTY: Easy
QUESTION TYPE: True / False
HAS VARIABLES: False
LEARNING OBJECTIVES: COCM.HANS.18.6-4 - LO: 06.04
NATIONAL STANDARDS: United States - BUSPROG - Analytic
STATE STANDARDS: United States - v1 - ACBSP-APC-35 - Process Costing
United States - v1 - AICPA-10 - FN-Measurement
United States - v1 - IMA-07 - Cost Management
KEYWORDS: Bloom's - Remembering
NOTES: Time Estimate - 5 min.
DATE CREATED: 10/7/2016 9:31 AM
DATE MODIFIED: 10/7/2016 9:31 AM
QUESTION ID: JFND-GO33-GINW-GCKG
QUESTION GLOBAL ID: GCID-E7BW-1TBP-G7OU-1AJT-CTTU-GCBT-8FTN-4PTO-CEHN-4CJO-8Y4N-4PDD-
GPT1-4QDD-GE4U-RPJZ-C3DI-GWN8-EPRW-EMJA-GWAG-EPMG-CWHU-Y3T3-
GCSU-YCTI-CESS-CCTS-GOSU-RQJT-CWSU-RPB1-8RAS-N3MR-E7JI-YT4D-JFNN-
4OTI-GO4W-NQNBEE
13. The FIFO method unit costs are used to value output that is related to future periods.
a. True
b. False
ANSWER: False
POINTS: 1
DIFFICULTY: Easy
QUESTION TYPE: True / False
HAS VARIABLES: False
LEARNING OBJECTIVES: COCM.HANS.18.6-4 - LO: 06.04
NATIONAL STANDARDS: United States - BUSPROG - Analytic
STATE STANDARDS: United States - v1 - ACBSP-APC-35 - Process Costing
United States - v1 - AICPA-10 - FN-Measurement
United States - v1 - IMA-07 - Cost Management
KEYWORDS: Bloom's - Understanding
NOTES: Time Estimate - 5 min.
DATE CREATED: 10/7/2016 9:31 AM
DATE MODIFIED: 10/7/2016 9:31 AM
QUESTION ID: JFND-GO33-GINW-GCKR
QUESTION GLOBAL ID: GCID-E7BW-1TBP-G7OU-1AJT-CTTU-GCBT-8FTN-4PTO-CEHN-4CJO-8Y4N-4PDD-
GPT1-4QDD-GE4U-RPJZ-C3DI-GWN8-EPRW-EMJ3-GA5D-N3BW-GRHG-CCJA-COSU-
EQMG-CESS-NPBT-GOSU-CCB1-GWSU-GAJZ-GO3D-YQDN-E7JI-YT4D-JFNN-4OTI-
GO4W-NQNBEE
14. The weighted average method treats the equivalent output and costs in beginning work-in-process inventories as if
they belong to the current period when calculating unit cost.
a. True
b. False
ANSWER: True
POINTS: 1
DIFFICULTY: Easy
QUESTION TYPE: True / False
HAS VARIABLES: False
LEARNING OBJECTIVES: COCM.HANS.18.6-5 - LO: 06.05
NATIONAL STANDARDS: United States - BUSPROG - Analytic
STATE STANDARDS: United States - v1 - ACBSP-APC-35 - Process Costing
United States - v1 - AICPA-10 - FN-Measurement
United States - v1 - IMA-07 - Cost Management
Copyright Cengage Learning. Powered by Cognero. Page 7
Chapter 6
KEYWORDS: Bloom's - Remembering
NOTES: Time Estimate - 5 min.
DATE CREATED: 10/7/2016 9:31 AM
DATE MODIFIED: 10/7/2016 9:31 AM
QUESTION ID: JFND-GO33-GINW-GCKD
QUESTION GLOBAL ID: GCID-E7BW-1TBP-G7OU-1AJT-CTTU-GCBT-8FTN-4PTO-CEHN-4CJO-8Y4N-4PDD-
GPT1-4QDD-GE4U-RPJZ-C3DI-GWN8-EPRW-EMJ1-GE4G-NC5R-CW4U-RA3U-COSU-
YCTW-8YSS-EAUB-GOSU-RAUF-GYSU-YQJT-8BTU-QQJW-E7JI-YT4D-JFNN-4OTI-
GO4W-NQNBEE
15. In a process-costing system, the costing of goods transferred out in BWIP inventory is difficult because there are
multiple categories of completed units.
a. True
b. False
ANSWER: False
POINTS: 1
DIFFICULTY: Easy
QUESTION TYPE: True / False
HAS VARIABLES: False
LEARNING OBJECTIVES: COCM.HANS.18.6-5 - LO: 06.05
NATIONAL STANDARDS: United States - BUSPROG - Analytic
STATE STANDARDS: United States - v1 - ACBSP-APC-35 - Process Costing
United States - v1 - AICPA-10 - FN-Measurement
United States - v1 - IMA-07 - Cost Management
KEYWORDS: Bloom's - Understanding
NOTES: Time Estimate - 5 min.
DATE CREATED: 10/7/2016 9:31 AM
DATE MODIFIED: 10/7/2016 9:31 AM
QUESTION ID: JFND-GO33-GINW-GCJU
QUESTION GLOBAL ID: GCID-E7BW-1TBP-G7OU-1AJT-CTTU-GCBT-8FTN-4PTO-CEHN-4CJO-8Y4N-4PDD-
GPT1-4QDD-GE4U-RPJZ-C3DI-GWN8-EPRW-EMJT-GC4S-K3MR-CR5D-YQDF-GYSU-
KAT1-CRSU-GC5G-GOSU-KPJZ-COSS-C3DD-CJ1U-EQJZ-E7JI-YT4D-JFNN-4OTI-
GO4W-NQNBEE
16. The major benefit of the weighted average method is simplicity. The major disadvantage is that accuracy and
performance measurements are impaired.
a. True
b. False
ANSWER: True
POINTS: 1
DIFFICULTY: Easy
QUESTION TYPE: True / False
HAS VARIABLES: False
LEARNING OBJECTIVES: COCM.HANS.18.6-5 - LO: 06.05
NATIONAL STANDARDS: United States - BUSPROG - Analytic
17. Transferred-in goods, must be converted to the units of measure used by the current department.
a. True
b. False
ANSWER: True
POINTS: 1
DIFFICULTY: Easy
QUESTION TYPE: True / False
HAS VARIABLES: False
LEARNING OBJECTIVES: COCM.HANS.18.6-6 - LO: 06.06
NATIONAL STANDARDS: United States - BUSPROG - Analytic
STATE STANDARDS: United States - v1 - ACBSP-APC-35 - Process Costing
United States - v1 - AICPA-10 - FN-Measurement
United States - v1 - IMA-07 - Cost Management
KEYWORDS: Bloom's - Understanding
NOTES: Time Estimate - 5 min.
DATE CREATED: 10/7/2016 9:31 AM
DATE MODIFIED: 10/7/2016 9:31 AM
QUESTION ID: JFND-GO33-GINW-GCJT
QUESTION GLOBAL ID: GCID-E7BW-1TBP-G7OU-1AJT-CTTU-GCBT-8FTN-4PTO-CEHN-4CJO-8Y4N-4PDD-
GPT1-4QDD-GE4U-RPJZ-C3DI-GWN8-EPRW-EMJU-CW4U-1CBO-GW4D-OPBW-
CESU-Q3T1-8YSU-OA5G-GOSU-NQJ3-CCSU-1C5D-GEAD-NQDD-E7JI-YT4D-JFNN-
4OTI-GO4W-NQNBEE
18. For the receiving department of a process-costing manufacturer, transferred-in goods are materials that are added at
the end of the process.
a. True
b. False
ANSWER: False
POINTS: 1
DIFFICULTY: Easy
QUESTION TYPE: True / False
HAS VARIABLES: False
LEARNING OBJECTIVES: COCM.HANS.18.6-6 - LO: 06.06
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Chapter 6
NATIONAL STANDARDS: United States - BUSPROG - Analytic
STATE STANDARDS: United States - v1 - ACBSP-APC-35 - Process Costing
United States - v1 - AICPA-10 - FN-Measurement
United States - v1 - IMA-07 - Cost Management
KEYWORDS: Bloom's - Understanding
NOTES: Time Estimate - 5 min.
DATE CREATED: 10/7/2016 9:31 AM
DATE MODIFIED: 10/7/2016 9:31 AM
QUESTION ID: JFND-GO33-GINW-GCJO
QUESTION GLOBAL ID: GCID-E7BW-1TBP-G7OU-1AJT-CTTU-GCBT-8FTN-4PTO-CEHN-4CJO-8Y4N-4PDD-
GPT1-4QDD-GE4U-RPJZ-C3DI-GWN8-EPRW-EMJ3-GPTU-EQMN-GO4D-RQMN-
GOSU-EPTI-8YSS-KQBZ-GOSU-NA3W-GESS-EPUF-GJTG-NQBZ-E7JI-YT4D-JFNN-
4OTI-GO4W-NQNBEE
19. In calculating equivalent units of production using the weighted average method, the transferred-in goods are treated
as materials added at the beginning of the process.
a. True
b. False
ANSWER: True
POINTS: 1
DIFFICULTY: Easy
QUESTION TYPE: True / False
HAS VARIABLES: False
LEARNING OBJECTIVES: COCM.HANS.18.6-6 - LO: 06.06
NATIONAL STANDARDS: United States - BUSPROG - Analytic
STATE STANDARDS: United States - v1 - ACBSP-APC-35 - Process Costing
United States - v1 - AICPA-10 - FN-Measurement
United States - v1 - IMA-07 - Cost Management
KEYWORDS: Bloom's - Remembering
NOTES: Time Estimate - 5 min.
DATE CREATED: 10/7/2016 9:31 AM
DATE MODIFIED: 10/7/2016 9:31 AM
QUESTION ID: JFND-GO33-GINW-GCJZ
QUESTION GLOBAL ID: GCID-E7BW-1TBP-G7OU-1AJT-CTTU-GCBT-8FTN-4PTO-CEHN-4CJO-8Y4N-4PDD-
GPT1-4QDD-GE4U-RPJZ-C3DI-GWN8-EPRW-EMJZ-CRHG-NPBW-GO3D-YP3Z-GHSU-
NCJT-CESU-CCB3-GOSS-EAUD-8YSU-KA5G-8B1S-G3DR-E7JI-YT4D-JFNN-4OTI-
GO4W-NQNBEE
20. When manufacturing companies exhibit characteristics of both job and process environments, they use batch
production processes.
a. True
b. False
ANSWER: True
POINTS: 1
DIFFICULTY: Easy
QUESTION TYPE: True / False
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Chapter 6
HAS VARIABLES: False
LEARNING OBJECTIVES: COCM.HANS.18.6-7 - LO: 06.07
NATIONAL STANDARDS: United States - BUSPROG - Analytic
STATE STANDARDS: United States - v1 - ACBSP-APC-34 - Job Order Costing
United States - v1 - ACBSP-APC-35 - Process Costing
United States - v1 - AICPA-10 - FN-Measurement
United States - v1 - IMA-07 - Cost Management
KEYWORDS: Bloom's - Remembering
NOTES: Time Estimate - 5 min.
DATE CREATED: 10/7/2016 9:31 AM
DATE MODIFIED: 10/7/2016 9:31 AM
QUESTION ID: JFND-GO33-GINW-GCJS
QUESTION GLOBAL ID: GCID-E7BW-1TBP-G7OU-1AJT-CTTU-GCBT-8FTN-4PTO-CEHN-4CJO-8Y4N-4PDD-
GPT1-4QDD-GE4U-RPJZ-C3DI-GWN8-EPRW-EMJO-8FOU-ECTZ-CW3S-GAJZ-GWSU-
KPJ3-CRSS-KCMB-GOSU-E3MB-GYSU-NA3T-8YHD-NPTT-E7JI-YT4D-JFNN-4OTI-
GO4W-NQNBEE
21. Operation costing uses a blend of job-order and process-costing procedures whenever batches of dissimilar products
are produced.
a. True
b. False
ANSWER: False
POINTS: 1
DIFFICULTY: Easy
QUESTION TYPE: True / False
HAS VARIABLES: False
LEARNING OBJECTIVES: COCM.HANS.18.6-7 - LO: 06.07
NATIONAL STANDARDS: United States - BUSPROG - Analytic
STATE STANDARDS: United States - v1 - ACBSP-APC-34 - Job Order Costing
United States - v1 - ACBSP-APC-35 - Process Costing
United States - v1 - AICPA-10 - FN-Measurement
United States - v1 - IMA-07 - Cost Management
KEYWORDS: Bloom's - Remembering
NOTES: Time Estimate - 5 min.
DATE CREATED: 10/7/2016 9:31 AM
DATE MODIFIED: 10/7/2016 9:31 AM
QUESTION ID: JFND-GO33-GINW-GCJI
QUESTION GLOBAL ID: GCID-E7BW-1TBP-G7OU-1AJT-CTTU-GCBT-8FTN-4PTO-CEHN-4CJO-8Y4N-4PDD-
GPT1-4QDD-GE4U-RPJZ-C3DI-GWN8-EPRW-EMMF-GO5U-KPMN-GFTU-RAJS-
CWSU-QPTO-8RSU-YPBZ-GOSU-QPMD-CASU-KQMF-GJOU-G3MB-E7JI-YT4D-
JFNN-4OTI-GO4W-NQNBEE
22. In operation costing, job-order procedures are used to assign direct materials costs and process procedures are used to
assign conversion costs.
a. True
b. False
23. When spoilage is assumed to be normal, it is not tracked separately, it is simply included in the total cost of good
units.
a. True
b. False
ANSWER: True
POINTS: 1
DIFFICULTY: Easy
QUESTION TYPE: True / False
HAS VARIABLES: False
LEARNING OBJECTIVES: COCM.HANS.18.6-8 - LO: 06.08
NATIONAL STANDARDS: United States - BUSPROG - Analytic
STATE STANDARDS: United States - v1 - ACBSP-APC-35 - Process Costing
United States - v1 - AICPA-10 - FN-Measurement
United States - v1 - IMA-07 - Cost Management
KEYWORDS: Bloom's - Remembering
NOTES: Time Estimate - 5 min.
DATE CREATED: 10/7/2016 9:31 AM
DATE MODIFIED: 10/7/2016 9:31 AM
QUESTION ID: JFND-GO33-GINW-GP1N
QUESTION GLOBAL ID: GCID-E7BW-1TBP-G7OU-1AJT-CTTU-GCBT-8FTN-4PTO-CEHN-4CJO-8Y4N-4PDD-
GPT1-4QDD-GE4U-RPJZ-C3DI-GWN8-EPRW-EMMD-GE5G-GA3U-GC4S-RPMD-
8YSU-OA3I-8RSU-YATT-GOSS-RATU-GESU-GPMD-CJTU-EPDB-E7JI-YT4D-JFNN-
4OTI-GO4W-NQNBEE
24. Spoilage in a process costing process means that more units enter the process than leave it.
a. True
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Chapter 6
b. False
ANSWER: True
POINTS: 1
DIFFICULTY: Easy
QUESTION TYPE: True / False
HAS VARIABLES: False
LEARNING OBJECTIVES: COCM.HANS.18.6-8 - LO: 06.08
NATIONAL STANDARDS: United States - BUSPROG - Analytic
STATE STANDARDS: United States - v1 - ACBSP-APC-35 - Process Costing
United States - v1 - AICPA-10 - FN-Measurement
United States - v1 - IMA-07 - Cost Management
KEYWORDS: Bloom's - Understanding
NOTES: Time Estimate - 5 min.
DATE CREATED: 10/7/2016 9:31 AM
DATE MODIFIED: 10/7/2016 9:31 AM
QUESTION ID: JFND-GO33-GINW-GP1B
QUESTION GLOBAL ID: GCID-E7BW-1TBP-G7OU-1AJT-CTTU-GCBT-8FTN-4PTO-CEHN-4CJO-8Y4N-4PDD-
GPT1-4QDD-GE4U-RPJZ-C3DI-GWN8-EPRW-EMJZ-CO5D-GPJO-CE5U-RCTS-GASU-
E3JI-8YSU-13JU-GOSU-1PMN-GESS-R3UR-GH5U-YATU-E7JI-YT4D-JFNN-4OTI-
GO4W-NQNBEE
25. Abnormal spoilage costs are treated the same as normal spoilage for process costing.
a. True
b. False
ANSWER: False
POINTS: 1
DIFFICULTY: Easy
QUESTION TYPE: True / False
HAS VARIABLES: False
LEARNING OBJECTIVES: COCM.HANS.18.6-8 - LO: 06.08
NATIONAL STANDARDS: United States - BUSPROG - Analytic
STATE STANDARDS: United States - v1 - ACBSP-APC-35 - Process Costing
United States - v1 - AICPA-10 - FN-Measurement
United States - v1 - IMA-07 - Cost Management
KEYWORDS: Bloom's - Remembering
NOTES: Time Estimate - 5 min.
DATE CREATED: 10/7/2016 9:31 AM
DATE MODIFIED: 10/7/2016 9:31 AM
QUESTION ID: JFND-GO33-GINW-GPT3
QUESTION GLOBAL ID: GCID-E7BW-1TBP-G7OU-1AJT-CTTU-GCBT-8FTN-4PTO-CEHN-4CJO-8Y4N-4PDD-
GPT1-4QDD-GE4U-RPJZ-C3DI-GWN8-EPRW-EMMR-CA5D-YCTI-CA3D-KCDN-8RSU-
YAJO-CRSU-GCB1-GOSS-N3UG-GOSU-YP3I-CA5U-ECTI-E7JI-YT4D-JFNN-4OTI-
GO4W-NQNBEE
26. The accounting system which accumulates production costs by process and uses a work-in-process account for each
process is called __________ .
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Chapter 6
ANSWER: process costing
POINTS: 1
DIFFICULTY: Easy
QUESTION TYPE: Completion
HAS VARIABLES: False
LEARNING OBJECTIVES: COCM.HANS.18.6-1 - LO: 06.01
NATIONAL STANDARDS: United States - BUSPROG - Analytic
STATE STANDARDS: United States - v1 - ACBSP-APC-35 - Process Costing
United States - v1 - AICPA-10 - FN-Measurement
United States - v1 - IMA-07 - Cost Management
KEYWORDS: Bloom's - Remembering
NOTES: Time Estimate - 5 min.
DATE CREATED: 10/7/2016 9:31 AM
DATE MODIFIED: 10/7/2016 9:31 AM
QUESTION ID: JFND-GO33-GINW-GPTA
QUESTION GLOBAL ID: GCID-E7BW-1TBP-G7OU-1AJT-CTTU-GCBT-8FTN-4PTO-CEHN-4CJO-8Y4N-4PDD-
GPT1-4QDD-GE4U-RPJZ-C3DI-GWN8-EPRW-EMJO-CIUD-QA3I-CA4U-OC3S-GOSU-
E3BI-CRSS-CQBZ-GOSS-EAUB-GWSU-QCTA-GPTD-N3TT-E7JI-YT4D-JFNN-4OTI-
GO4W-NQNBEE
27. The basic characteristics of process costing include: cost flows, journal entries, and
the __________ report.
ANSWER: cost of production
POINTS: 1
DIFFICULTY: Easy
QUESTION TYPE: Completion
HAS VARIABLES: False
LEARNING OBJECTIVES: COCM.HANS.18.6-1 - LO: 06.01
NATIONAL STANDARDS: United States - BUSPROG - Analytic
STATE STANDARDS: United States - v1 - ACBSP-APC-35 - Process Costing
United States - v1 - AICPA-10 - FN-Measurement
United States - v1 - IMA-07 - Cost Management
KEYWORDS: Bloom's - Remembering
NOTES: Time Estimate - 5 min.
DATE CREATED: 10/7/2016 9:31 AM
DATE MODIFIED: 10/7/2016 9:31 AM
QUESTION ID: JFND-GO33-GINW-GP1G
QUESTION GLOBAL ID: GCID-E7BW-1TBP-G7OU-1AJT-CTTU-GCBT-8FTN-4PTO-CEHN-4CJO-8Y4N-4PDD-
GPT1-4QDD-GE4U-RPJZ-C3DI-GWN8-EPRW-EMJS-CR3G-CP3O-CW5U-R3TI-GRSU-
O3JZ-CRSU-RPUF-GOSU-QCDB-8RSS-GATT-G31U-EC5B-E7JI-YT4D-JFNN-4OTI-
GO4W-NQNBEE
29. Companies using JIT manufacturing do not use __________ inventories for their process costing.
ANSWER: work-in-process
POINTS: 1
DIFFICULTY: Moderate
QUESTION TYPE: Completion
HAS VARIABLES: False
LEARNING OBJECTIVES: COCM.HANS.18.6-2 - LO: 06.02
NATIONAL STANDARDS: United States - BUSPROG - Analytic
STATE STANDARDS: United States - v1 - ACBSP-APC-27 - Managerial Accounting Features/Costs
United States - v1 - AICPA-10 - FN-Measurement
United States - v1 - IMA-11 - Strategic Planning
KEYWORDS: Bloom's - Understanding
NOTES: Time Estimate - 5 min.
DATE CREATED: 10/7/2016 9:31 AM
DATE MODIFIED: 10/7/2016 9:31 AM
QUESTION ID: JFND-GO33-GINW-GP1R
QUESTION GLOBAL ID: GCID-E7BW-1TBP-G7OU-1AJT-CTTU-GCBT-8FTN-4PTO-CEHN-4CJO-8Y4N-4PDD-
GPT1-4QDD-GE4U-RPJZ-C3DI-GWN8-EPRW-EMJT-GWAG-RPBI-8Y3D-OCDF-CESS-
RPBT-8RSS-CA3I-GOSS-CQB3-CASS-CPUB-GC3G-KPJI-E7JI-YT4D-JFNN-4OTI-
GO4W-NQNBEE
31. In process costing, __________ costing can be used to assign shared overhead to processes.
ANSWER: activity-based
POINTS: 1
DIFFICULTY: Easy
QUESTION TYPE: Completion
HAS VARIABLES: False
LEARNING OBJECTIVES: COCM.HANS.18.6-2 - LO: 06.02
NATIONAL STANDARDS: United States - BUSPROG - Analytic
STATE STANDARDS: United States - v1 - ACBSP-APC-35 - Process Costing
United States - v1 - AICPA-10 - FN-Measurement
United States - v1 - IMA-07 - Cost Management
KEYWORDS: Bloom's - Understanding
NOTES: Time Estimate - 5 min.
DATE CREATED: 10/7/2016 9:31 AM
DATE MODIFIED: 10/7/2016 9:31 AM
QUESTION ID: JFND-GO33-GINW-GPTU
QUESTION GLOBAL ID: GCID-E7BW-1TBP-G7OU-1AJT-CTTU-GCBT-8FTN-4PTO-CEHN-4CJO-8Y4N-4PDD-
GPT1-4QDD-GE4U-RPJZ-C3DI-GWN8-EPRW-EMMR-GE5D-YCMN-G71U-RAJT-
CWSU-ECTI-8RSU-NAUR-GOSS-KPMR-GESS-RCMF-GPTD-GCUB-E7JI-YT4D-JFNN-
4OTI-GO4W-NQNBEE
32. The units that could have been produced in a period given the amount of manufacturing inputs used are called
__________ .
ANSWER: equivalent units of output
POINTS: 1
DIFFICULTY: Easy
QUESTION TYPE: Completion
HAS VARIABLES: False
LEARNING OBJECTIVES: COCM.HANS.18.6-3 - LO: 06.03
NATIONAL STANDARDS: United States - BUSPROG - Analytic
STATE STANDARDS: United States - v1 - ACBSP-APC-27 - Managerial Accounting Features/Costs
United States - v1 - AICPA-10 - FN-Measurement
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Chapter 6
United States - v1 - IMA-07 - Cost Management
KEYWORDS: Bloom's - Remembering
NOTES: Time Estimate - 5 min.
DATE CREATED: 10/7/2016 9:31 AM
DATE MODIFIED: 10/7/2016 9:31 AM
QUESTION ID: JFND-GO33-GINW-GPT1
QUESTION GLOBAL ID: GCID-E7BW-1TBP-G7OU-1AJT-CTTU-GCBT-8FTN-4PTO-CEHN-4CJO-8Y4N-4PDD-
GPT1-4QDD-GE4U-RPJZ-C3DI-GWN8-EPRW-EMMD-GT1D-Y3DB-8Y4S-RA3I-GOSS-
CCMF-8RSS-GATS-GOSU-N3J1-GOSS-C3MF-C3UD-K3BU-E7JI-YT4D-JFNN-4OTI-
GO4W-NQNBEE
33. The process that determines the equality of the costs in beginning work in process and the costs incurred during the
period is called __________ .
ANSWER: cost reconciliation
POINTS: 1
DIFFICULTY: Easy
QUESTION TYPE: Completion
HAS VARIABLES: False
LEARNING OBJECTIVES: COCM.HANS.18.6-3 - LO: 06.03
NATIONAL STANDARDS: United States - BUSPROG - Analytic
STATE STANDARDS: United States - v1 - ACBSP-APC-35 - Process Costing
United States - v1 - AICPA-10 - FN-Measurement
United States - v1 - IMA-07 - Cost Management
KEYWORDS: Bloom's - Remembering
NOTES: Time Estimate - 5 min.
DATE CREATED: 10/7/2016 9:31 AM
DATE MODIFIED: 10/7/2016 9:31 AM
QUESTION ID: JFND-GO33-GINW-GPTT
QUESTION GLOBAL ID: GCID-E7BW-1TBP-G7OU-1AJT-CTTU-GCBT-8FTN-4PTO-CEHN-4CJO-8Y4N-4PDD-
GPT1-4QDD-GE4U-RPJZ-C3DI-GWN8-EPRW-EMJA-CF1U-1CBZ-CIOU-R3BS-GWSU-
YATZ-CESS-NP33-GOSU-YPT3-GYSU-1C5F-CE3S-RCJO-E7JI-YT4D-JFNN-4OTI-
GO4W-NQNBEE
34. When materials are not added uniformly using a work-in-process system, __________ of equivalent units are needed,
one for each type of input.
ANSWER: multiple calculations
POINTS: 1
DIFFICULTY: Easy
QUESTION TYPE: Completion
HAS VARIABLES: False
LEARNING OBJECTIVES: COCM.HANS.18.6-3 - LO: 06.03
NATIONAL STANDARDS: United States - BUSPROG - Analytic
STATE STANDARDS: United States - v1 - ACBSP-APC-35 - Process Costing
United States - v1 - AICPA-10 - FN-Measurement
United States - v1 - IMA-07 - Cost Management
KEYWORDS: Bloom's - Understanding
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Chapter 6
NOTES: Time Estimate - 5 min.
DATE CREATED: 10/7/2016 9:31 AM
DATE MODIFIED: 10/7/2016 9:31 AM
QUESTION ID: JFND-GO33-GINW-GPTO
QUESTION GLOBAL ID: GCID-E7BW-1TBP-G7OU-1AJT-CTTU-GCBT-8FTN-4PTO-CEHN-4CJO-8Y4N-4PDD-
GPT1-4QDD-GE4U-RPJZ-C3DI-GWN8-EPRW-EMJO-CAHD-CPUG-GOHG-NCDD-
GHSS-RPJS-CRSU-NCDR-GOSU-OC3O-CRSS-NPUR-CE3D-YPUB-E7JI-YT4D-JFNN-
4OTI-GO4W-NQNBEE
35. The unit-costing method that excludes prior-period work and costs in computing current-period unit work and costs is
called the __________ costing method.
ANSWER: FIFO
POINTS: 1
DIFFICULTY: Easy
QUESTION TYPE: Completion
HAS VARIABLES: False
LEARNING OBJECTIVES: COCM.HANS.18.6-4 - LO: 06.04
NATIONAL STANDARDS: United States - BUSPROG - Analytic
STATE STANDARDS: United States - v1 - ACBSP-APC-35 - Process Costing
United States - v1 - AICPA-10 - FN-Measurement
United States - v1 - IMA-07 - Cost Management
KEYWORDS: Bloom's - Remembering
NOTES: Time Estimate - 5 min.
DATE CREATED: 10/7/2016 9:31 AM
DATE MODIFIED: 10/7/2016 9:31 AM
QUESTION ID: JFND-GO33-GINW-GPTZ
QUESTION GLOBAL ID: GCID-E7BW-1TBP-G7OU-1AJT-CTTU-GCBT-8FTN-4PTO-CEHN-4CJO-8Y4N-4PDD-
GPT1-4QDD-GE4U-RPJZ-C3DI-GWN8-EPRW-EMJZ-GJUD-CCJS-CW5D-QC3W-GOSU-
YQJU-8YSU-RQJT-GOSU-QCUR-COSU-13MF-CA3D-13J3-E7JI-YT4D-JFNN-4OTI-
GO4W-NQNBEE
37. For beginning work-in-process category using FIFO, the manufacturing cost is the sum of the current-period
__________ and the current __________ to complete the BWIP.
ANSWER: costs; cost
POINTS: 1
DIFFICULTY: Easy
QUESTION TYPE: Completion
HAS VARIABLES: False
LEARNING OBJECTIVES: COCM.HANS.18.6-4 - LO: 06.04
NATIONAL STANDARDS: United States - BUSPROG - Analytic
STATE STANDARDS: United States - v1 - ACBSP-APC-35 - Process Costing
United States - v1 - AICPA-10 - FN-Measurement
United States - v1 - IMA-07 - Cost Management
KEYWORDS: Bloom's - Understanding
NOTES: Time Estimate - 5 min.
DATE CREATED: 10/7/2016 9:31 AM
DATE MODIFIED: 10/7/2016 9:31 AM
QUESTION ID: JFND-GO33-GINW-GPTI
QUESTION GLOBAL ID: GCID-E7BW-1TBP-G7OU-1AJT-CTTU-GCBT-8FTN-4PTO-CEHN-4CJO-8Y4N-4PDD-
GPT1-4QDD-GE4U-RPJZ-C3DI-GWN8-EPRW-EMMD-GA5U-YQBA-CAAS-RCJ3-
CWSU-OCDR-8RSU-YAUB-GOSU-1PDN-GESS-GATS-GFTU-GQJS-E7JI-YT4D-JFNN-
4OTI-GO4W-NQNBEE
38. The __________ method is a unit-costing method that merges prior-period work and costs with current period work
and costs.
ANSWER: weighted average
POINTS: 1
DIFFICULTY: Easy
QUESTION TYPE: Completion
HAS VARIABLES: False
LEARNING OBJECTIVES: COCM.HANS.18.6-5 - LO: 06.05
NATIONAL STANDARDS: United States - BUSPROG - Analytic
STATE STANDARDS: United States - v1 - ACBSP-APC-35 - Process Costing
United States - v1 - AICPA-10 - FN-Measurement
United States - v1 - IMA-07 - Cost Management
KEYWORDS: Bloom's - Remembering
NOTES: Time Estimate - 5 min.
DATE CREATED: 10/7/2016 9:31 AM
DATE MODIFIED: 10/7/2016 9:31 AM
QUESTION ID: JFND-GO33-GINW-GPTW
QUESTION GLOBAL ID: GCID-E7BW-1TBP-G7OU-1AJT-CTTU-GCBT-8FTN-4PTO-CEHN-4CJO-8Y4N-4PDD-
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Chapter 6
GPT1-4QDD-GE4U-RPJZ-C3DI-GWN8-EPRW-EMMR-CFOU-KP3I-GCHU-GCTZ-CASU-
EQJA-CESU-OCUB-GOSU-N3BU-8YSU-CPBS-CT1S-NCJI-E7JI-YT4D-JFNN-4OTI-
GO4W-NQNBEE
39. The weighted average costing method picks up __________ inventory costs and outputs and treats them as if they
belong in the current period.
ANSWER: beginning
POINTS: 1
DIFFICULTY: Moderate
QUESTION TYPE: Completion
HAS VARIABLES: False
LEARNING OBJECTIVES: COCM.HANS.18.6-5 - LO: 06.05
NATIONAL STANDARDS: United States - BUSPROG - Analytic
STATE STANDARDS: United States - v1 - ACBSP-APC-35 - Process Costing
United States - v1 - AICPA-10 - FN-Measurement
United States - v1 - IMA-07 - Cost Management
KEYWORDS: Bloom's - Understanding
NOTES: Time Estimate - 5 min.
DATE CREATED: 10/7/2016 9:31 AM
DATE MODIFIED: 10/7/2016 9:31 AM
QUESTION ID: JFND-GO33-GINW-GP4N
QUESTION GLOBAL ID: GCID-E7BW-1TBP-G7OU-1AJT-CTTU-GCBT-8FTN-4PTO-CEHN-4CJO-8Y4N-4PDD-
GPT1-4QDD-GE4U-RPJZ-C3DI-GWN8-EPRW-EMJI-8R5D-KCUR-CPTD-KA33-CWSU-
OQMN-CRSU-EPBS-GOSS-NQJU-CRSS-GC33-GP1D-YCDB-E7JI-YT4D-JFNN-4OTI-
GO4W-NQNBEE
40. Using the weighted average costing method, the costing of goods transferred out is __________ since there is only one
category of completed units.
ANSWER: simplified
POINTS: 1
DIFFICULTY: Easy
QUESTION TYPE: Completion
HAS VARIABLES: False
LEARNING OBJECTIVES: COCM.HANS.18.6-5 - LO: 06.05
NATIONAL STANDARDS: United States - BUSPROG - Analytic
STATE STANDARDS: United States - v1 - ACBSP-APC-35 - Process Costing
United States - v1 - AICPA-10 - FN-Measurement
United States - v1 - IMA-07 - Cost Management
KEYWORDS: Bloom's - Understanding
NOTES: Time Estimate - 5 min.
DATE CREATED: 10/7/2016 9:31 AM
DATE MODIFIED: 10/7/2016 9:31 AM
QUESTION ID: JFND-GO33-GINW-GP4B
QUESTION GLOBAL ID: GCID-E7BW-1TBP-G7OU-1AJT-CTTU-GCBT-8FTN-4PTO-CEHN-4CJO-8Y4N-4PDD-
GPT1-4QDD-GE4U-RPJZ-C3DI-GWN8-EPRW-EMJI-GB1U-GC3A-8BTD-K3JU-GOSU-
CCDN-CESS-RC3S-GOSU-GCUB-GRSU-CPTU-GE5G-EPMG-E7JI-YT4D-JFNN-4OTI-
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Chapter 6
GO4W-NQNBEE
41. The cost assigned to goods from a prior process is called the __________ cost.
ANSWER: transferred-in
POINTS: 1
DIFFICULTY: Moderate
QUESTION TYPE: Completion
HAS VARIABLES: False
LEARNING OBJECTIVES: COCM.HANS.18.6-6 - LO: 06.06
NATIONAL STANDARDS: United States - BUSPROG - Analytic
STATE STANDARDS: United States - v1 - ACBSP-APC-35 - Process Costing
United States - v1 - AICPA-10 - FN-Measurement
United States - v1 - IMA-07 - Cost Management
KEYWORDS: Bloom's - Remembering
NOTES: Time Estimate - 5 min.
DATE CREATED: 10/7/2016 9:31 AM
DATE MODIFIED: 10/7/2016 9:31 AM
QUESTION ID: JFND-GO33-GINW-GP33
QUESTION GLOBAL ID: GCID-E7BW-1TBP-G7OU-1AJT-CTTU-GCBT-8FTN-4PTO-CEHN-4CJO-8Y4N-4PDD-
GPT1-4QDD-GE4U-RPJZ-C3DI-GWN8-EPRW-EMJU-CC4U-1PJU-GTOU-KC3O-CCSS-
GATI-8RSU-GA3I-GOSU-RC3U-GWSU-RC3Z-CWAD-E3DB-E7JI-YT4D-JFNN-4OTI-
GO4W-NQNBEE
42. For the receiving department, transferred in goods are added at the __________ of the process.
ANSWER: beginning
POINTS: 1
DIFFICULTY: Easy
QUESTION TYPE: Completion
HAS VARIABLES: False
LEARNING OBJECTIVES: COCM.HANS.18.6-6 - LO: 06.06
NATIONAL STANDARDS: United States - BUSPROG - Analytic
STATE STANDARDS: United States - v1 - ACBSP-APC-35 - Process Costing
United States - v1 - AICPA-10 - FN-Measurement
United States - v1 - IMA-07 - Cost Management
KEYWORDS: Bloom's - Understanding
NOTES: Time Estimate - 5 min.
DATE CREATED: 10/7/2016 9:31 AM
DATE MODIFIED: 10/7/2016 9:31 AM
QUESTION ID: JFND-GO33-GINW-GP3A
QUESTION GLOBAL ID: GCID-E7BW-1TBP-G7OU-1AJT-CTTU-GCBT-8FTN-4PTO-CEHN-4CJO-8Y4N-4PDD-
GPT1-4QDD-GE4U-RPJZ-C3DI-GWN8-EPRW-EMMB-COAU-NCMG-CO5D-YQDR-
CASS-C3UR-CESU-O3TI-GOSS-GQB1-8YSS-RQDN-GH3D-CCUN-E7JI-YT4D-JFNN-
4OTI-GO4W-NQNBEE
43. The usual approach in process manufacturing is to treat transferred-in goods as a separate material category when
calculating __________ .
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Chapter 6
ANSWER: equivalent units
POINTS: 1
DIFFICULTY: Easy
QUESTION TYPE: Completion
HAS VARIABLES: False
LEARNING OBJECTIVES: COCM.HANS.18.6-6 - LO: 06.06
NATIONAL STANDARDS: United States - BUSPROG - Analytic
STATE STANDARDS: United States - v1 - ACBSP-APC-35 - Process Costing
United States - v1 - AICPA-10 - FN-Measurement
United States - v1 - IMA-07 - Cost Management
KEYWORDS: Bloom's - Remembering
NOTES: Time Estimate - 5 min.
DATE CREATED: 10/7/2016 9:31 AM
DATE MODIFIED: 10/7/2016 9:31 AM
QUESTION ID: JFND-GO33-GINW-GP4G
QUESTION GLOBAL ID: GCID-E7BW-1TBP-G7OU-1AJT-CTTU-GCBT-8FTN-4PTO-CEHN-4CJO-8Y4N-4PDD-
GPT1-4QDD-GE4U-RPJZ-C3DI-GWN8-EPRW-EMJ3-CE4D-1P3T-GW5D-OPJO-GWSU-
CCJW-8YSS-KC3Z-GOSS-EQJO-GASS-K3BZ-8B1U-QATS-E7JI-YT4D-JFNN-4OTI-
GO4W-NQNBEE
44. The costing system that uses job-order procedures to assign direct material costs to batches and process procedures to
assign conversion costs is called __________ costing.
ANSWER: operation
POINTS: 1
DIFFICULTY: Easy
QUESTION TYPE: Completion
HAS VARIABLES: False
LEARNING OBJECTIVES: COCM.HANS.18.6-7 - LO: 06.07
NATIONAL STANDARDS: United States - BUSPROG - Analytic
STATE STANDARDS: United States - v1 - ACBSP-APC-34 - Job Order Costing
United States - v1 - ACBSP-APC-35 - Process Costing
United States - v1 - AICPA-10 - FN-Measurement
United States - v1 - IMA-07 - Cost Management
KEYWORDS: Bloom's - Remembering
NOTES: Time Estimate - 5 min.
DATE CREATED: 10/7/2016 9:31 AM
DATE MODIFIED: 10/7/2016 9:31 AM
QUESTION ID: JFND-GO33-GINW-GP4F
QUESTION GLOBAL ID: GCID-E7BW-1TBP-G7OU-1AJT-CTTU-GCBT-8FTN-4PTO-CEHN-4CJO-8Y4N-4PDD-
GPT1-4QDD-GE4U-RPJZ-C3DI-GWN8-EPRW-EMMN-GA3U-1AJ3-GO3S-KAJU-CASS-
KQJ3-CESS-GAMF-GOSU-Y3DR-GYSU-N3JT-GB1D-NCTZ-E7JI-YT4D-JFNN-4OTI-
GO4W-NQNBEE
45. In operation costing, the process which produces batches of different products which are identical in many ways but
differ in others is called __________ process
ANSWER: batch production
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Chapter 6
POINTS: 1
DIFFICULTY: Easy
QUESTION TYPE: Completion
HAS VARIABLES: False
LEARNING OBJECTIVES: COCM.HANS.18.6-7 - LO: 06.07
NATIONAL STANDARDS: United States - BUSPROG - Analytic
STATE STANDARDS: United States - v1 - ACBSP-APC-35 - Process Costing
United States - v1 - AICPA-10 - FN-Measurement
United States - v1 - IMA-07 - Cost Management
KEYWORDS: Bloom's - Remembering
NOTES: Time Estimate - 5 min.
DATE CREATED: 10/7/2016 9:31 AM
DATE MODIFIED: 10/7/2016 9:31 AM
QUESTION ID: JFND-GO33-GINW-GP4R
QUESTION GLOBAL ID: GCID-E7BW-1TBP-G7OU-1AJT-CTTU-GCBT-8FTN-4PTO-CEHN-4CJO-8Y4N-4PDD-
GPT1-4QDD-GE4U-RPJZ-C3DI-GWN8-EPRW-EMJS-GA5S-R3MB-CRAG-CAJW-GCSU-
GQJT-CRSS-RPBA-GOSU-GC3U-CWSU-GQJT-8R5G-GC5B-E7JI-YT4D-JFNN-4OTI-
GO4W-NQNBEE
46. The documents used to collect production costs for each batch in operation costing are called __________ .
ANSWER: work orders
POINTS: 1
DIFFICULTY: Easy
QUESTION TYPE: Completion
HAS VARIABLES: False
LEARNING OBJECTIVES: COCM.HANS.18.6-7 - LO: 06.07
NATIONAL STANDARDS: United States - BUSPROG - Analytic
STATE STANDARDS: United States - v1 - ACBSP-APC-35 - Process Costing
United States - v1 - AICPA-10 - FN-Measurement
United States - v1 - IMA-07 - Cost Management
KEYWORDS: Bloom's - Remembering
NOTES: Time Estimate - 5 min.
DATE CREATED: 10/7/2016 9:31 AM
DATE MODIFIED: 10/7/2016 9:31 AM
QUESTION ID: JFND-GO33-GINW-GP4D
QUESTION GLOBAL ID: GCID-E7BW-1TBP-G7OU-1AJT-CTTU-GCBT-8FTN-4PTO-CEHN-4CJO-8Y4N-4PDD-
GPT1-4QDD-GE4U-RPJZ-C3DI-GWN8-EPRW-EMJT-GC5G-NQBU-CPTU-OA3U-GWSS-
NQMN-CRSS-CC33-GOSU-EPJ1-GOSU-KQJT-8YAG-RQJO-E7JI-YT4D-JFNN-4OTI-
GO4W-NQNBEE
47. Manufacturing firms that have characteristics of both job and process environments often use __________ processes.
ANSWER: batch production
POINTS: 1
DIFFICULTY: Easy
QUESTION TYPE: Completion
48. __________ is a costing system that blends job-order and process-costing procedures applied to batches of
homogeneous products.
ANSWER: Operation costing
POINTS: 1
DIFFICULTY: Easy
QUESTION TYPE: Completion
HAS VARIABLES: False
LEARNING OBJECTIVES: COCM.HANS.18.6-7 - LO: 06.07
NATIONAL STANDARDS: United States - BUSPROG - Analytic
STATE STANDARDS: United States - v1 - ACBSP-APC-34 - Job Order Costing
United States - v1 - ACBSP-APC-35 - Process Costing
United States - v1 - AICPA-10 - FN-Measurement
United States - v1 - IMA-07 - Cost Management
KEYWORDS: Bloom's - Remembering
NOTES: Time Estimate - 5 min.
DATE CREATED: 10/7/2016 9:31 AM
DATE MODIFIED: 10/7/2016 9:31 AM
QUESTION ID: JFND-GO33-GINW-GP31
QUESTION GLOBAL ID: GCID-E7BW-1TBP-G7OU-1AJT-CTTU-GCBT-8FTN-4PTO-CEHN-4CJO-8Y4N-4PDD-
GPT1-4QDD-GE4U-RPJZ-C3DI-GWN8-EPRW-EMJA-8F1U-C3J3-GW3D-OCJW-GCSU-
NP5F-CRSU-RCTS-GOSU-QAJS-GWSU-CCTO-GO5S-GQBZ-E7JI-YT4D-JFNN-4OTI-
GO4W-NQNBEE
49. When spoilage is assumed to be __________ it is embedded in the total cost of good units.
ANSWER: normal
POINTS: 1
DIFFICULTY: Easy
QUESTION TYPE: Completion
HAS VARIABLES: False
Copyright Cengage Learning. Powered by Cognero. Page 24
Chapter 6
LEARNING OBJECTIVES: COCM.HANS.18.6-8 - LO: 06.08
NATIONAL STANDARDS: United States - BUSPROG - Analytic
STATE STANDARDS: United States - v1 - ACBSP-APC-35 - Process Costing
United States - v1 - AICPA-10 - FN-Measurement
United States - v1 - IMA-07 - Cost Management
KEYWORDS: Bloom's - Understanding
NOTES: Time Estimate - 5 min.
DATE CREATED: 10/7/2016 9:31 AM
DATE MODIFIED: 10/7/2016 9:31 AM
QUESTION ID: JFND-GO33-GINW-GP3T
QUESTION GLOBAL ID: GCID-E7BW-1TBP-G7OU-1AJT-CTTU-GCBT-8FTN-4PTO-CEHN-4CJO-8Y4N-4PDD-
GPT1-4QDD-GE4U-RPJZ-C3DI-GWN8-EPRW-EMMG-8FUG-GC5D-8FTS-K3TO-8RSU-
N3TT-CESS-NPMN-GOSS-GP5G-8RSS-CAUB-GB1S-KPUR-E7JI-YT4D-JFNN-4OTI-
GO4W-NQNBEE
50. When spoilage is due to the exacting nature of a particular job it is called __________ spoilage.
ANSWER: abnormal
POINTS: 1
DIFFICULTY: Easy
QUESTION TYPE: Completion
HAS VARIABLES: False
LEARNING OBJECTIVES: COCM.HANS.18.6-8 - LO: 06.08
NATIONAL STANDARDS: United States - BUSPROG - Analytic
STATE STANDARDS: United States - v1 - ACBSP-APC-35 - Process Costing
United States - v1 - AICPA-10 - FN-Measurement
United States - v1 - IMA-07 - Cost Management
KEYWORDS: Bloom's - Understanding
NOTES: Time Estimate - 5 min.
DATE CREATED: 10/7/2016 9:31 AM
DATE MODIFIED: 10/7/2016 9:31 AM
QUESTION ID: JFND-GO33-GINW-GP3O
QUESTION GLOBAL ID: GCID-E7BW-1TBP-G7OU-1AJT-CTTU-GCBT-8FTN-4PTO-CEHN-4CJO-8Y4N-4PDD-
GPT1-4QDD-GE4U-RPJZ-C3DI-GWN8-EPRW-EMMR-CRHS-EP5B-GTTU-R3TO-8RSU-
RCUG-CRSU-NCJZ-GOSU-1CB1-GASU-OCMB-GRHU-YPDD-E7JI-YT4D-JFNN-4OTI-
GO4W-NQNBEE
51. What system would a manufacturer of unique special orders or batch processes most likely use to accumulate costs?
a. contract costing
b. variable costing
c. process costing
d. job-order costing
ANSWER: d
POINTS: 1
DIFFICULTY: Easy
QUESTION TYPE: Multiple Choice
53. The appropriate cost accounting system to use when inventory items are produced on an assembly line is
a. weighted average.
b. job-order costing.
c. process costing.
54. Which of the following is true of a production report prepared under a process-costing system?
a. It provides information about the physical units processed in a department.
b. It has a unit information section, a cost information section, and a revenue information section.
c. It summarizes the manufacturing activity of a company only at the end of a reporting period.
d. It is prepared at the final stage of a manufacturing activity.
ANSWER: a
POINTS: 1
DIFFICULTY: Easy
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVES: COCM.HANS.18.6-1 - LO: 06.01
NATIONAL STANDARDS: United States - BUSPROG - Analytic
STATE STANDARDS: United States - v1 - ACBSP-APC-35 - Process Costing
United States - v1 - AICPA-10 - FN-Measurement
United States - v1 - IMA-07 - Cost Management
KEYWORDS: Bloom's - Remembering
NOTES: Time Estimate - 5 min.
DATE CREATED: 10/7/2016 9:31 AM
DATE MODIFIED: 1/27/2017 12:13 AM
QUESTION ID: JFND-GO33-GINW-GP3W
QUESTION GLOBAL ID: GCID-E7BW-1TBP-G7OU-1AJT-CTTU-GCBT-8FTN-4PTO-CEHN-4CJO-8Y4N-4PDD-
GPT1-4QDD-GE4U-RPJZ-C3DI-GWN8-EPRW-EMJZ-CR4S-R3JZ-CE5D-YAMN-GHSS-
EQMF-CRSU-13MF-GOSS-GATS-GHSU-NC33-CWAD-RCBU-E7JI-YT4D-JFNN-4OTI-
GO4W-NQNBEE
Copyright Cengage Learning. Powered by Cognero. Page 27
Chapter 6
55. The Allen Company has the following information for the Assembly Department for the month of October:
Materials purchased $ 45,000
Materials used 49,000
Direct labor 30,000
Actual manufacturing overhead 56,000
Cost of goods completed and transferred to the Finishing Dept. 125,000
Overhead rate is 200 percent of direct labor costs.
Allen Company uses a process costing system for the Assembly Department.
The journal entry to record materials purchased would include a
a. debit to Materials Inventory for $45,000.
b. debit to Materials Inventory for $49,000.
c. credit to Accounts Payable for $49,000.
d. both b and c.
ANSWER: a
POINTS: 1
DIFFICULTY: Moderate
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVES: COCM.HANS.18.6-1 - LO: 06.01
NATIONAL STANDARDS: United States - BUSPROG - Reflective Thinking
STATE STANDARDS: United States - v1 - ACBSP-APC-35 - Process Costing
United States - v1 - AICPA-10 - FN-Measurement
United States - v1 - IMA-07 - Cost Management
KEYWORDS: Bloom's - Applying
NOTES: Time Estimate - 5 min.
DATE CREATED: 10/7/2016 9:31 AM
DATE MODIFIED: 1/22/2017 10:01 PM
QUESTION ID: JFND-GO33-GINW-GPNN
QUESTION GLOBAL ID: GCID-E7BW-1TBP-G7OU-1AJT-CTTU-GCBT-8FTN-4PTO-CEHN-4CJO-8Y4N-4PDD-
GPT1-4QDD-GE4U-RPJZ-C3DI-GWN8-EPRW-EMJO-CO5D-CPTU-GAAG-CPUR-CASS-
N3UN-CESS-R3MB-GOSS-CPTO-COSU-YAUF-CR3S-GC3I-E7JI-YT4D-JFNN-4OTI-
GO4W-NQNBEE
56. The Allen Company has the following information for the Assembly Department for the month of October:
Materials purchased $ 45,000
Materials used 49,000
Direct labor 30,000
Actual manufacturing overhead 56,000
Cost of goods completed and transferred to the Finishing Dept. 125,000
Overhead rate is 200 percent of direct labor costs.
Allen Company uses a process costing system for the Assembly Department.
What is the total amount of debits to Work in Process-Assembly Department for October?
a. $125,000
b. $131,000
Copyright Cengage Learning. Powered by Cognero. Page 28
Chapter 6
c. $139,000
d. $109,000
ANSWER: c
RATIONALE: SUPPORTING CALCULATIONS: $49,000 + $30,000 + ($30,000 × 2) = $139,000
POINTS: 1
DIFFICULTY: Moderate
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVES: COCM.HANS.18.6-1 - LO: 06.01
NATIONAL STANDARDS: United States - BUSPROG - Reflective Thinking
STATE STANDARDS: United States - v1 - ACBSP-APC-35 - Process Costing
United States - v1 - AICPA-10 - FN-Measurement
United States - v1 - IMA-07 - Cost Management
KEYWORDS: Bloom's - Applying
NOTES: Time Estimate - 10 min.
DATE CREATED: 10/7/2016 9:31 AM
DATE MODIFIED: 1/27/2017 2:46 AM
QUESTION ID: JFND-GO33-GINW-GPNB
QUESTION GLOBAL ID: GCID-E7BW-1TBP-G7OU-1AJT-CTTU-GCBT-8FTN-4PTO-CEHN-4CJO-8Y4N-4PDD-
GPT1-4QDD-GE4U-RPJZ-C3DI-GWN8-EPRW-EMMB-GBUG-E3DD-GITD-1C3O-GRSU-
Q3TA-CRSU-NP31-GOSS-ECUD-GWSU-KP5D-CITG-KCUD-E7JI-YT4D-JFNN-4OTI-
GO4W-NQNBEE
57. The Allen Company has the following information for the Assembly Department for the month of October:
Allen Company uses a process costing system for the Assembly Department.
The journal entry to record goods completed and transferred out of the Assembly Department would include a
a. debit to Finished Goods Inventory for $125,000.
b. credit to Materials Inventory for $125,000.
c. debit to Work in Process-Assembly Department for $125,000.
d. debit to Work in Process-Finishing Department for $125,000.
ANSWER: d
POINTS: 1
DIFFICULTY: Moderate
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVES: COCM.HANS.18.6-1 - LO: 06.01
NATIONAL STANDARDS: United States - BUSPROG - Reflective Thinking
Copyright Cengage Learning. Powered by Cognero. Page 29
Chapter 6
STATE STANDARDS: United States - v1 - ACBSP-APC-35 - Process Costing
United States - v1 - AICPA-10 - FN-Measurement
United States - v1 - IMA-07 - Cost Management
KEYWORDS: Bloom's - Applying
NOTES: Time Estimate - 5 min.
DATE CREATED: 10/7/2016 9:31 AM
DATE MODIFIED: 1/22/2017 10:00 PM
QUESTION ID: JFND-GO33-GINW-GPB3
QUESTION GLOBAL ID: GCID-E7BW-1TBP-G7OU-1AJT-CTTU-GCBT-8FTN-4PTO-CEHN-4CJO-8Y4N-4PDD-
GPT1-4QDD-GE4U-RPJZ-C3DI-GWN8-EPRW-EMJI-CTOU-QPTI-CE4G-KPTI-COSS-
EATW-8YSU-QQDR-GOSU-NCBO-GASS-ECJZ-CR5U-EP5N-E7JI-YT4D-JFNN-4OTI-
GO4W-NQNBEE
58. When products and their costs are moved from one process to the next process, these costs are referred to as
a. unit costs.
b. transferred-in costs.
c. WIP inventory costs.
d. equivalent unit costs.
ANSWER: b
POINTS: 1
DIFFICULTY: Easy
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVES: COCM.HANS.18.6-1 - LO: 06.01
NATIONAL STANDARDS: United States - BUSPROG - Analytic
STATE STANDARDS: United States - v1 - ACBSP-APC-35 - Process Costing
United States - v1 - AICPA-10 - FN-Measurement
United States - v1 - IMA-07 - Cost Management
KEYWORDS: Bloom's - Remembering
NOTES: Time Estimate - 5 min.
DATE CREATED: 10/7/2016 9:31 AM
DATE MODIFIED: 10/7/2016 9:31 AM
QUESTION ID: JFND-GO33-GINW-GPBA
QUESTION GLOBAL ID: GCID-E7BW-1TBP-G7OU-1AJT-CTTU-GCBT-8FTN-4PTO-CEHN-4CJO-8Y4N-4PDD-
GPT1-4QDD-GE4U-RPJZ-C3DI-GWN8-EPRW-EMMG-GO5U-13J3-8FOS-NPTU-GWSU-
RCTI-8RSU-O3TO-GOSS-GAJ1-GCSU-RCBO-CE4U-C3DB-E7JI-YT4D-JFNN-4OTI-
GO4W-NQNBEE
59. Which of the following is a difference between a job-order costing system and a process-costing system?
a. A job-order costing system accumulates costs by department, while a process costing-system accumulates
costs by job.
b. A job-order costing system is used only by manufacturing firms, while a process-costing system is used by
both manufacturing firms and service firms.
c. A job-order costing system uses a single work-in-process account, while a process-costing system has a work-
in-process account for every process.
d. A job-order costing system uses cost-sheets for assigning labor costs, while a process-costing system uses time
Copyright Cengage Learning. Powered by Cognero. Page 30
Chapter 6
tickets for assigning labor costs to processes.
ANSWER: c
POINTS: 1
DIFFICULTY: Easy
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVES: COCM.HANS.18.6-1 - LO: 06.01
NATIONAL STANDARDS: United States - BUSPROG - Analytic
STATE STANDARDS: United States - v1 - ACBSP-APC-34 - Job Order Costing
United States - v1 - ACBSP-APC-35 - Process Costing
United States - v1 - AICPA-10 - FN-Measurement
United States - v1 - IMA-07 - Cost Management
KEYWORDS: Bloom's - Understanding
NOTES: Time Estimate - 5 min.
DATE CREATED: 10/7/2016 9:31 AM
DATE MODIFIED: 1/27/2017 12:16 AM
QUESTION ID: JFND-GO33-GINW-GPNG
QUESTION GLOBAL ID: GCID-E7BW-1TBP-G7OU-1AJT-CTTU-GCBT-8FTN-4PTO-CEHN-4CJO-8Y4N-4PDD-
GPT1-4QDD-GE4U-RPJZ-C3DI-GWN8-EPRW-EMMG-GA4U-KPJI-GC5U-KAMR-
GWSS-ECB3-CRSU-CC5D-GOSU-RCBT-CCSU-EA3O-GAAU-YAJZ-E7JI-YT4D-JFNN-
4OTI-GO4W-NQNBEE
60. Leandro Corp. manufactures wooden desks. Production consists of three processes: cutting, assembly, and finishing.
The following costs are given for April:
There were no work in process inventories and 1,000 podiums were produced.
What is the cost transferred out of the assembly department.
a. $43,000
b. $54,000
c. $29,000
d. $14,000
e. none of the above
ANSWER: a
RATIONALE: SUPPORTING CALCULATIONS:
Cutting Assembly Finishing
DM $7,000 $10,000 $ 3,000
DL 3,000 14,000 2,000
MOH 4,000 5,000 6,000
Total $14,000 $29,000 $11,000
Transferred-in 0 $14,000 43,000
Transferred-out $14,000 $43,000 $54,000
POINTS: 1
DIFFICULTY: Moderate
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVES: COCM.HANS.18.6-1 - LO: 06.01
NATIONAL STANDARDS: United States - BUSPROG - Reflective Thinking
STATE STANDARDS: United States - v1 - ACBSP-APC-35 - Process Costing
United States - v1 - AICPA-10 - FN-Measurement
United States - v1 - IMA-07 - Cost Management
KEYWORDS: Bloom's - Applying
NOTES: Time Estimate - 10 min.
DATE CREATED: 10/7/2016 9:31 AM
DATE MODIFIED: 1/9/2017 1:43 AM
QUESTION ID: JFND-GO33-GINW-GPNF
QUESTION GLOBAL ID: GCID-E7BW-1TBP-G7OU-1AJT-CTTU-GCBT-8FTN-4PTO-CEHN-4CJO-8Y4N-4PDD-
GPT1-4QDD-GE4U-RPJZ-C3DI-GWN8-EPRW-EMJW-8R3D-GAT3-GW5D-R3TI-GRSS-
KPUB-CESU-YPUB-GOSU-YC3U-GASU-OAJW-GCHU-YATA-E7JI-YT4D-JFNN-4OTI-
GO4W-NQNBEE
61. Leandro Corp. manufactures wooden desks. Production consists of three processes: cutting, assembly, and finishing.
The following costs are given for April:
There were no work in process inventories and 1,000 podiums were produced.
The journal entry to assign costs to the Assembly process would be
a. Raw Materials 10,000
Payroll 14,000
Overhead Control 5,000
Work in Process - Assembly 29,000
b. Raw Materials 20,000
Payroll 19,000
Overhead Control 15,000
Work in Process - Assembly 54,000
c. Work in Process - Assembly 29,000
Raw Materials 10,000
Payroll 14,000
Overhead Control 5,000
d. Work in Process - Assembly 54,000
Raw Materials 20,000
Payroll 19,000
Copyright Cengage Learning. Powered by Cognero. Page 32
Chapter 6
Overhead Control 15,000
e. none of the above
ANSWER: c
RATIONALE: SUPPORTING CALCULATIONS:
Cutting Assembly Finishing
DM $ 7,000 $10,000 $ 3,000
DL 3,000 14,000 2,000
MOH 4,000 5,000 6,000
Total $14,000 $29,000 $11,000
Transferred-in 0 $14,000 43,000
Transferred-out $14,000 $43,000 $54,000
POINTS: 1
DIFFICULTY: Moderate
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVES: COCM.HANS.18.6-1 - LO: 06.01
NATIONAL STANDARDS: United States - BUSPROG - Reflective Thinking
STATE STANDARDS: United States - v1 - ACBSP-APC-35 - Process Costing
United States - v1 - AICPA-10 - FN-Measurement
United States - v1 - IMA-07 - Cost Management
KEYWORDS: Bloom's - Applying
NOTES: Time Estimate - 5 min.
DATE CREATED: 10/7/2016 9:31 AM
DATE MODIFIED: 1/9/2017 1:44 AM
QUESTION ID: JFND-GO33-GINW-GPNR
QUESTION GLOBAL ID: GCID-E7BW-1TBP-G7OU-1AJT-CTTU-GCBT-8FTN-4PTO-CEHN-4CJO-8Y4N-4PDD-
GPT1-4QDD-GE4U-RPJZ-C3DI-GWN8-EPRW-EMJS-8F1D-RC33-GEHU-YAJZ-CWSS-
CC3I-CRSS-GC5D-GOSU-RP33-CASS-EA3S-CW3G-CA5B-E7JI-YT4D-JFNN-4OTI-
GO4W-NQNBEE
62. Leandro Corp. manufactures wooden desks. Production consists of three processes: cutting, assembly, and finishing.
The following costs are given for April:
There were no work in process inventories and 1,000 podiums were produced.
Record the journal entries to record the transfer of goods from process to process.
a. Work in Process - Assembly 14,000
Work in Process - Cutting 14,000
Work in Process - Finishing 43,000
Work in Process - Assembly 43,000
Finished Goods 54,000
Work in Process - Finishing 54,000
POINTS: 1
DIFFICULTY: Moderate
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVES: COCM.HANS.18.6-1 - LO: 06.01
NATIONAL STANDARDS: United States - BUSPROG - Reflective Thinking
STATE STANDARDS: United States - v1 - ACBSP-APC-35 - Process Costing
United States - v1 - AICPA-10 - FN-Measurement
United States - v1 - IMA-07 - Cost Management
KEYWORDS: Bloom's - Applying
NOTES: Time Estimate - 5 min.
DATE CREATED: 10/7/2016 9:31 AM
DATE MODIFIED: 1/9/2017 1:45 AM
QUESTION ID: JFND-GO33-GINW-GPND
QUESTION GLOBAL ID: GCID-E7BW-1TBP-G7OU-1AJT-CTTU-GCBT-8FTN-4PTO-CEHN-4CJO-8Y4N-4PDD-
GPT1-4QDD-GE4U-RPJZ-C3DI-GWN8-EPRW-EMMD-GP1G-RCUF-CITD-G3BS-GASU-
YQB3-CRSU-KPBS-GOSS-KPJA-GCSS-E3BA-GCAS-NQJW-E7JI-YT4D-JFNN-4OTI-
GO4W-NQNBEE
63. Moccasin Company produces 15,000 bars of chocolates and has the following cost data for the month of January:
Blending Molding
Process Process
Direct materials $12,000 $3,000
Copyright Cengage Learning. Powered by Cognero. Page 34
Chapter 6
Direct labor 9,000 6,000
Applied overhead 3,500 2,500
Calculate the costs transferred out of the Molding Department for the month of January. Assume no work-in-process
inventories.
a. $24,500
b. $36,000
c. $11,500
d. $30,000
ANSWER: b
RATIONALE: SUPPORTING CALCULATIONS: The cost transferred out of Molding Department is
calculated below:
Blending Molding
Process Process
Direct materials $12,000 $ 3,000
Direct labor 9,000 6,000
Applied overhead 3,500 2,500
Costs added $24,500 $11,500
Costs transferred in - 24,500
Costs transferred out $24,500 $36,000
POINTS: 1
DIFFICULTY: Moderate
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVES: COCM.HANS.18.6-1 - LO: 06.01
NATIONAL STANDARDS: United States - BUSPROG - Reflective Thinking
STATE STANDARDS: United States - v1 - ACBSP-APC-35 - Process Costing
United States - v1 - AICPA-10 - FN-Measurement
United States - v1 - IMA-07 - Cost Management
KEYWORDS: Bloom's - Applying
NOTES: Time Estimate - 10 min.
DATE CREATED: 10/7/2016 9:31 AM
DATE MODIFIED: 1/27/2017 12:19 AM
QUESTION ID: JFND-GO33-GINW-GPBO
QUESTION GLOBAL ID: GCID-E7BW-1TBP-G7OU-1AJT-CTTU-GCBT-8FTN-4PTO-CEHN-4CJO-8Y4N-4PDD-
GPT1-4QDD-GE4U-RPJZ-C3DI-GWN8-EPRW-EMJZ-GF1D-NCTZ-G71D-OQDN-GHSU-
KCTU-CRSU-N3DN-GOSS-GQBZ-8YSU-1PJ1-GRAD-1AJZ-E7JI-YT4D-JFNN-4OTI-
GO4W-NQNBEE
65. As production occurs, materials, direct labor, and applied manufacturing overhead are recorded in
a. cost of goods sold.
b. work in process.
c. materials.
d. finished goods.
ANSWER: b
POINTS: 1
DIFFICULTY: Easy
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVES: COCM.HANS.18.6-1 - LO: 06.01
NATIONAL STANDARDS: United States - BUSPROG - Analytic
STATE STANDARDS: United States - v1 - ACBSP-APC-35 - Process Costing
United States - v1 - AICPA-10 - FN-Measurement
United States - v1 - IMA-07 - Cost Management
KEYWORDS: Bloom's - Understanding
NOTES: Time Estimate - 5 min.
DATE CREATED: 10/7/2016 9:31 AM
DATE MODIFIED: 10/7/2016 9:31 AM
QUESTION ID: JFND-GO33-GINW-GPB1
QUESTION GLOBAL ID: GCID-E7BW-1TBP-G7OU-1AJT-CTTU-GCBT-8FTN-4PTO-CEHN-4CJO-8Y4N-4PDD-
GPT1-4QDD-GE4U-RPJZ-C3DI-GWN8-EPRW-EMJT-GR3G-KPBT-GFUD-NAMG-CESS-
KC33-8YSS-NPJU-GOSU-RP3W-GYSS-GCJW-G7TD-R3MD-E7JI-YT4D-JFNN-4OTI-
GO4W-NQNBEE
67. Jamie Hopen, CPA, prepares tax returns. The production costs and the number of tax returns prepared for the month of
September are as follows:
Direct materials $ 200
CPA staff salaries 4,000
Overhead 1,800
Total $6,000
Number of tax returns 300
What is the unit cost per tax return?
a. $0.67
b. $15.00
c. $20.00
d. $3.33
ANSWER: c
RATIONALE: SUPPORTING CALCULATIONS:
Direct materials $ 200
CPA staff salaries 4,000
Overhead 1,800
Total $6,000
Number of tax returns 300 $6,000/300 = $20
POINTS: 1
DIFFICULTY: Easy
68. Jamie Hopen, CPA, prepares tax returns. The production costs and the number of tax returns prepared for the month of
September are as follows:
Direct materials $ 200
CPA staff salaries 4,000
Overhead 1,800
Total $6,000
Number of tax returns 300
What is the cost of services sold?
a. $1,800
b. $4,000
c. $200
d. $6,000
ANSWER: d
RATIONALE: Direct materials $ 200
CPA staff salaries 4,000
Overhead 1,800
Total $6,000
or 300 × $20 = $6,000
POINTS: 1
DIFFICULTY: Easy
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVES: COCM.HANS.18.6-2 - LO: 06.02
NATIONAL STANDARDS: United States - BUSPROG - Reflective Thinking
STATE STANDARDS: United States - v1 - ACBSP-APC-35 - Process Costing
United States - v1 - AICPA-10 - FN-Measurement
69. In order to determine product costs, JIT firms are usually structured so they can use:
a. job-order costing
b. process costing
c. joint costing
d. variable costing
ANSWER: b
POINTS: 1
DIFFICULTY: Easy
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVES: COCM.HANS.18.6-2 - LO: 06.02
NATIONAL STANDARDS: United States - BUSPROG - Analytic
STATE STANDARDS: United States - v1 - ACBSP-APC-35 - Process Costing
United States - v1 - AICPA-10 - FN-Measurement
United States - v1 - IMA-07 - Cost Management
KEYWORDS: Bloom's - Understanding
NOTES: Time Estimate - 5 min.
DATE CREATED: 10/7/2016 9:32 AM
DATE MODIFIED: 10/7/2016 9:32 AM
QUESTION ID: JFND-GO33-GINW-GPBI
QUESTION GLOBAL ID: GCID-E7BW-1TBP-G7OU-1AJT-CTTU-GCBT-8FTN-4PTO-CEHN-4CJO-8Y4N-4PDD-
GPT1-4QDD-GE4U-RPJZ-C3DI-GWN8-EPRW-EMJ1-GBTU-1QMG-CR3D-1PMR-
GWSU-YPUR-8YSS-KCMB-GOSS-G3BI-GASU-KPMN-CO5S-N3BT-E7JI-YT4D-JFNN-
4OTI-GO4W-NQNBEE
71. The role of activity-based costing for both cellular and independent process manufacturing is to:
a. determine the profitability of a department.
b. compute the unit fixed costs incurred by a firm.
c. assign overhead shared by processes to individual processes.
d. separate fixed and variable costs incurred by multiple processes.
ANSWER: c
POINTS: 1
DIFFICULTY: Moderate
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVES: COCM.HANS.18.6-2 - LO: 06.02
NATIONAL STANDARDS: United States - BUSPROG - Analytic
STATE STANDARDS: United States - v1 - ACBSP-APC-35 - Process Costing
United States - v1 - AICPA-10 - FN-Measurement
United States - v1 - IMA-07 - Cost Management
KEYWORDS: Bloom's - Understanding
NOTES: Time Estimate - 5 min.
DATE CREATED: 10/7/2016 9:32 AM
DATE MODIFIED: 1/27/2017 12:20 AM
QUESTION ID: JFND-GO33-GINW-GPKN
QUESTION GLOBAL ID: GCID-E7BW-1TBP-G7OU-1AJT-CTTU-GCBT-8FTN-4PTO-CEHN-4CJO-8Y4N-4PDD-
GPT1-4QDD-GE4U-RPJZ-C3DI-GWN8-EPRW-EMMN-CA5U-KCB1-GE5U-E3UR-8RSU-
QCDN-CRSS-GQBW-GOSS-GCDG-CWSS-R3TT-GC3D-RC3T-E7JI-YT4D-JFNN-4OTI-
GO4W-NQNBEE
72. The complete units that could have been produced given the total amount of productive effort expended for the period
under consideration are the:
a. units in ending work in process.
b. units in beginning work in process.
c. total units of output.
Copyright Cengage Learning. Powered by Cognero. Page 40
Chapter 6
d. equivalent units of output.
ANSWER: d
POINTS: 1
DIFFICULTY: Easy
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVES: COCM.HANS.18.6-3 - LO: 06.03
NATIONAL STANDARDS: United States - BUSPROG - Analytic
STATE STANDARDS: United States - v1 - ACBSP-APC-35 - Process Costing
United States - v1 - AICPA-10 - FN-Measurement
United States - v1 - IMA-07 - Cost Management
KEYWORDS: Bloom's - Remembering
NOTES: Time Estimate - 5 min.
DATE CREATED: 10/7/2016 9:32 AM
DATE MODIFIED: 1/23/2017 8:08 AM
QUESTION ID: JFND-GO33-GINW-GPKB
QUESTION GLOBAL ID: GCID-E7BW-1TBP-G7OU-1AJT-CTTU-GCBT-8FTN-4PTO-CEHN-4CJO-8Y4N-4PDD-
GPT1-4QDD-GE4U-RPJZ-C3DI-GWN8-EPRW-EMMB-GFTU-KPDF-GO3U-EAJZ-
CWSU-NPBU-CESU-1CMD-GOSS-RCUN-CASU-13B3-GF1S-C3TZ-E7JI-YT4D-JFNN-
4OTI-GO4W-NQNBEE
73. That which determine(s) whether the costs assigned to units transferred out and to units in ending work in process are
equal to the costs in beginning work in process, plus the manufacturing costs incurred in the current period is(are) called:
a. Equivalent unit of output
b. Cost reconciliation
c. Batch production process
d. Transferred-in costs
ANSWER: b
POINTS: 1
DIFFICULTY: Easy
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVES: COCM.HANS.18.6-3 - LO: 06.03
NATIONAL STANDARDS: United States - BUSPROG - Analytic
STATE STANDARDS: United States - v1 - ACBSP-APC-35 - Process Costing
United States - v1 - AICPA-10 - FN-Measurement
United States - v1 - IMA-07 - Cost Management
KEYWORDS: Bloom's - Remembering
NOTES: Time Estimate - 5 min.
DATE CREATED: 10/7/2016 9:32 AM
DATE MODIFIED: 10/7/2016 9:32 AM
QUESTION ID: JFND-GO33-GINW-GPJ3
QUESTION GLOBAL ID: GCID-E7BW-1TBP-G7OU-1AJT-CTTU-GCBT-8FTN-4PTO-CEHN-4CJO-8Y4N-4PDD-
GPT1-4QDD-GE4U-RPJZ-C3DI-GWN8-EPRW-EMJO-GIUD-KQDD-CR3D-YAMN-8YSS-
R3JS-CESU-YCBU-GOSU-EPBS-8YSU-RAJT-CE5U-OAJT-E7JI-YT4D-JFNN-4OTI-
Copyright Cengage Learning. Powered by Cognero. Page 41
Chapter 6
GO4W-NQNBEE
75. The term given to units that represents the number of completed units that is equal, in terms of production inputs, to a
given number of partially completed units is:
a. Units completed
b. Equivalent units
c. Units started and completed
d. Total units in production
ANSWER: b
POINTS: 1
DIFFICULTY: Easy
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVES: COCM.HANS.18.6-3 - LO: 06.03
NATIONAL STANDARDS: United States - BUSPROG - Analytic
STATE STANDARDS: United States - v1 - ACBSP-APC-35 - Process Costing
United States - v1 - AICPA-10 - FN-Measurement
United States - v1 - IMA-07 - Cost Management
KEYWORDS: Bloom's - Remembering
NOTES: Time Estimate - 5 min.
Copyright Cengage Learning. Powered by Cognero. Page 42
Chapter 6
DATE CREATED: 10/7/2016 9:32 AM
DATE MODIFIED: 10/7/2016 9:32 AM
QUESTION ID: JFND-GO33-GINW-GPKG
QUESTION GLOBAL ID: GCID-E7BW-1TBP-G7OU-1AJT-CTTU-GCBT-8FTN-4PTO-CEHN-4CJO-8Y4N-4PDD-
GPT1-4QDD-GE4U-RPJZ-C3DI-GWN8-EPRW-EMJW-GEAU-EQJT-GIOU-YP5N-CASU-
YQJS-8RSS-C3BZ-GOSU-1CUF-GWSS-NAJZ-GCAU-K3TS-E7JI-YT4D-JFNN-4OTI-
GO4W-NQNBEE
76. The following information is available from the records of Diamond Cut, Inc.:
Direct Materials-Assembly Department $10,000
Direct Materials-Finishing Department 15,000
Direct Labor-Assembly Department 11,000
Direct Labor-Finishing Department 20,000
Applied Overhead-Assembly Department 11,000
Applied Overhead-Finishing Department 20,000
Actual Overhead-Assembly Department 12,500
Actual Overhead-Finishing Department 17,500
What are the "total costs to account for" in the Assembly Department?
a. $32,000
b. $44,500
c. $21,000
d. $10,000
ANSWER: a
RATIONALE: SUPPORTING CALCULATIONS:
Direct materials $10,000
Direct labor 11,000
Applied overhead 11,000
Total $32,000
POINTS: 1
DIFFICULTY: Easy
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVES: COCM.HANS.18.6-3 - LO: 06.03
NATIONAL STANDARDS: United States - BUSPROG - Reflective Thinking
STATE STANDARDS: United States - v1 - ACBSP-APC-35 - Process Costing
United States - v1 - AICPA-10 - FN-Measurement
United States - v1 - IMA-07 - Cost Management
KEYWORDS: Bloom's - Applying
NOTES: Time Estimate - 10 min.
DATE CREATED: 10/7/2016 9:32 AM
DATE MODIFIED: 1/9/2017 4:29 AM
QUESTION ID: JFND-GO33-GINW-GPKF
QUESTION GLOBAL ID: GCID-E7BW-1TBP-G7OU-1AJT-CTTU-GCBT-8FTN-4PTO-CEHN-4CJO-8Y4N-4PDD-
GPT1-4QDD-GE4U-RPJZ-C3DI-GWN8-EPRW-EMMF-GAHD-C3BU-GJOU-EPJW-GASS-
GPUG-CRSS-N3DN-GOSS-RCJT-COSU-QCUN-CE5D-GQBW-E7JI-YT4D-JFNN-4OTI-
77. The following information is available from the records of Diamond Cut, Inc.:
Direct Materials-Assembly Department $10,000
Direct Materials-Finishing Department 15,000
Direct Labor-Assembly Department 11,000
Direct Labor-Finishing Department 20,000
Applied Overhead-Assembly Department 11,000
Applied Overhead-Finishing Department 20,000
Actual Overhead-Assembly Department 12,500
Actual Overhead-Finishing Department 17,500
What are the conversion costs in the Finishing Department?
a. $35,000
b. $37,500
c. $40,000
d. $57,500
ANSWER: c
RATIONALE: SUPPORTING CALCULATIONS: $20,000 + $20,000 = $40,000
POINTS: 1
DIFFICULTY: Easy
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVES: COCM.HANS.18.6-3 - LO: 06.03
NATIONAL STANDARDS: United States - BUSPROG - Reflective Thinking
STATE STANDARDS: United States - v1 - ACBSP-APC-35 - Process Costing
United States - v1 - AICPA-10 - FN-Measurement
United States - v1 - IMA-07 - Cost Management
KEYWORDS: Bloom's - Applying
NOTES: Time Estimate - 10 min.
DATE CREATED: 10/7/2016 9:32 AM
DATE MODIFIED: 1/9/2017 4:27 AM
QUESTION ID: JFND-GO33-GINW-GPKR
QUESTION GLOBAL ID: GCID-E7BW-1TBP-G7OU-1AJT-CTTU-GCBT-8FTN-4PTO-CEHN-4CJO-8Y4N-4PDD-
GPT1-4QDD-GE4U-RPJZ-C3DI-GWN8-EPRW-EMJT-8BTD-1A3O-CFOS-C3BW-COSU-
GCMF-8RSU-Q3TS-GOSS-GCBZ-GCSU-R3BS-CI1D-CAT1-E7JI-YT4D-JFNN-4OTI-
GO4W-NQNBEE
79. Maynard Inc. manufactures desks. The following data was given for production in February:
POINTS: 1
DIFFICULTY: Easy
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVES: COCM.HANS.18.6-3 - LO: 06.03
NATIONAL STANDARDS: United States - BUSPROG - Reflective Thinking
STATE STANDARDS: United States - v1 - ACBSP-APC-35 - Process Costing
United States - v1 - AICPA-10 - FN-Measurement
United States - v1 - IMA-07 - Cost Management
KEYWORDS: Bloom's - Applying
NOTES: Time Estimate - 5 min.
Copyright Cengage Learning. Powered by Cognero. Page 45
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