Match each description to the appropriate term. Answers may be used more than once. Selling and administrative expense Factory overhead Indirect materials used Sales supplies used Rent expense on factory building Factory supplies used

Match each description to the appropriate term. Answers may be used more than once. Selling and administrative expense Factory overhead Indirect materials used Sales supplies used Rent expense on factory building Factory supplies used

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Related questions

Q: Factory overhead costs do not include which of the following: a. insurance b. heating c. taxes d,…

A: Overhead is like an expense which does require and incurred to operate day to day business…

Q: 7. The entry to record the purchase of materials using a job costing system would include Ocredit to…

A: The question is based on the concept of Cost Accounting. Job costing is used in manufacturing entity…

Q: (1) (2) (3) Work in Process Inventory Raw Materials Inventory Work in Process Inventory Factory…

A: The overhead rate is calculated as overhead cost divided by base activity. The overhead is applied…

Q: Carriage inward on purchase of raw material is classified as? a. Selling overheads b. Direct…

A: Carriage inward cost on purchase of direct material is added to the cost of direct material.

Q: Identify the journal entry for abnormal wastage. a. Dr.Material inventory, Cr.Production overheads…

A: There are two types of loss in process costing 1. Normal loss and 2. Abnormal loss Normal Loss…

Q: 8. The warehouse management team members of a manufacturing company submits their timesheets. The…

A: job order costing system determination of price of each individual product and assurance of cost of…

Q: Which of the following costs is considered as an example of manufacturing overheads?. Question 2…

A: Cost accounting is one of useful branch being used in business. Under this, different type of costs…

Q: Instruction: Identify the following: 1. The amount which represents cost incurred to produce goods…

A: "Since you have posted a question with multiple sub parts, we will solve first three sub parts for…

Q: Journalizing the entry to record a job completed would include a credit to Oa. Cost of Goods Sold…

A: The inventory of the company involves three stages. These are: 1. Raw material: When the inventory…

Q: Normal wastage in the production process is debited to a. Factory overheads b. Work in process c.…

A: The losses can be of two types as normal loss or abnormal loss. Normal loss can occur in production…

Q: Use of direct and indirect materials in production requires a credit to

A: Raw material: Raw material is the material used in production which can be converted to final…

Q: Which of the following is factory overhead? O a. factory equipment depreciation O b. all of these…

A: Overhead costs are the costs that are not directly traceable with an item of finished goods. These…

Q: Question 7. Part 6. Please fill in the blanks in the same format as the question

A: Manufacturing Overheads that are directly related to production of Inventory shall form part of Cost…

Q: You have the following data: Cost of goods sold Direct labour Direct materials $70 $20 + ₁

A: COST OF GOODS SOLD The cost of goods sold is the cost which is directly incurred by the organisation…

Q: Which of the following accounts would be debited to record the factory supervisor's salary incurred…

A: The objective of the question is to identify the correct account that would be debited when…

Q: Instructions 1. Journalize the entries to record the transactions indentified below. 2. Determine…

A: Job Costing: Job costing is a method which records costs of manufacturing costs rather than…

Q: Based on the knowledge of depreciation being recorded on a journal entry as a manufacturing overhead…

A: Depreciation refers to the permanent diminution in the worth of tangible assets. This could be due…

Q: Identify the journal entry for indirect material returns to stores. a. Dr.Material inventory,…

A: Solution: The journal entry for indirect material returns to stores is as under: Dr.Material…

Q: The journal entry to record actual manufacturing overhead for indirect labor debits Manufacturing…

A: Work in progress Inventory: It refers to the organisation's goods which are not completely finished…

Q: al factory overhead

A: Overapplied or underapplied overhead is the differnce between actual overhead and applied overhead.

Q: For a manufacturing company, which of the following is an example of a period cost rather than a…

A: Product cost means the cost of producing one unit of finished goods. It is included in the valuation…

Q: When direct materials are issued from inventory to production under a job order costing system an…

A: The journal entries are prepared to record the transactions on regular basis. The direct Costs are…

Q: Identify whether each of the following costs should be classified as product costs or period costs.…

A: Product Costs : Product Costs means the direct costs incurred for production of a product. Product…

Q: The journal entry to record the use of direct materials in production is to: debit Raw Materials…

A: The term journal entry refers to the entry which is passed or recorded in the books of the company…

Q: what of the costs is an example of a cost that remains the same in total as the number of units…

A: The objective of the question is to identify which among the given costs is a fixed cost. A fixed…

Q: Which one of the following journal entry is recorded when indirect materials are returned by…

A: Indirect materials are those materials which are not in direct use in the production of goods and…

Q: Which of the following is a variable factory overhead expense? Factory Supervisors Salary Indirect…

A: Factory overhead refers to indirect costs incurred in the manufacturing process of a…

Q: Which one is a product cost Select one: a. Travel Expenses b. Power c. Rent Factory Building d.…

A: Solution: Rent factory building is a product cost as this is a manufacturing overhead that…

Q: In recording the entry to record the purchase of raw materials on account in a job order cost…

A: Job order cost accounting is being followed by many manufacturing companies.It helps to record all…

Q: Enos Printing Corp. uses a job order cost system. The following data summarize the operations…

A: Journal entry is an art of recording summarising and classifying the business transactions of a firm…

Q: Instruction: Classify each cost as Direct Materials, Direct Labor, Manufacturing Overhead,…

A: Direct Material These are the expenses associated with obtaining the materials and other components…

Q: Which document lists the total direct materials used in a specific job?A. job cost sheetB. purchase…

A: Direct material is that cost of material which is used directly for production and manufacturing of…

Q: Required A Required B Compute total manufacturing costs. Total manufacturing costs Prepare a…

A: Total manufacturing costs in the business includes direct material costs, direct labour costs and…

Q: When direct labor cost are incurred, (but not yet paid) in manufacturing: _______ is debited and…

A: A journal entry is a record of a financial transaction in an accounting system. It is the initial…

Q: Which one of the following is used by the production department supervisor to request the materials…

A: Inventory or stock is a current resource on the accounting report that addresses the expenses of…

Q: Cost of Goods Sold that are NOT part of Goods Available for Sale are included in A. Work-in-Process…

A: SCHEDULE OF COST OF GOODS MANUFACTUREDSchedule of costs of goods Manufactured are those Costs Which…

Q: the amount of overapplied manufacturing overhead as significant, the netry to close Overapplied…

A: "Since you have asked multiple questions, we will solve first question for you. If you want any…

Q: ork in Process Partially Finished Goods Finished Goods

A: Lets understand the basics. Inventory is an asset account which needs to show in the balance sheet…

Q: Using predetermined factory overhead application rates to apply the manufacturing overhead to the…

A: In cost accounting, manufacturing overhead costs to products or production activities are…

Q: 1. Purchased $20,500 of materials on account. 2. Issued $1,250 of supplles from the materials…

A: The question is based on the concept of Cost Accounting.

Concept explainers

Manufacturing Costs

Manufacturing cost is the total cost of procuring or producing a product. In other words, the manufacturing cost is the cost that an individual or business owner undertakes for the manufacturing of goods.

Question

Match each description to the appropriate term. Answers may be used more than once.

Selling and administrative expense

Factory overhead

Indirect materials used

Sales supplies used

Rent expense on factory building

Factory supplies used

Definition Definition Indirect costs incurred while producing goods or services. Overhead costs cannot be directly attributed to products or services. Overhead includes indirect material cost, indirect labor cost, rent, utilities expenses, and depreciation. Since these costs directly affect the profitability of a company, managing overhead becomes an important task for management.

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

This is a popular solution!

SEE SOLUTION Check out a sample Q&A here

Step 1

VIEW

Step 2

VIEW

Trending now

This is a popular solution!

Step by step

Solved in 2 steps

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.

Similar questions

Please answer D
Required: Classify the following costs as period or traceable costs. Depreciation on office building Insurance expense for factory building Product liability insurance premium Transportation charges for raw materials Factory repairs and maintenance Rent for inventory warehouse Cost of raw materials Factory wages Salary to chief executive officer Depreciation on factory Bonus to factory workers Salary to marketing staff Administrative expenses Bad debt expense Advertising expense Research and development Warranty expense Electricity for plant
Which document shows the cost of direct materials, direct labor, and overhead applied for each specific job?A. job cost sheetB. purchase orderC. materials requisition formD. receiving document
Which of the following statements is true? (You may select more than one answer.)a. The Manufacturing Overhead account is debited when manufacturing overhead isapplied to Work in Process.b. Job cost sheets accumulate the actual overhead costs incurred to complete a job.c. When products are transferred from work in process to finished goods it results ina debit to Finished Goods and a credit to Work in Process.d. Selling expenses are applied to production using a predetermined overhead ratethat is computed at the beginning of the period.
Number the following in the order of the flow of manufacturing costs for a company: a. Closing under/overapplied factory overhead to cost of goods sold b. Materials purchased c. Factory labor used and factory overhead incurred in production d. Completed jobs moved to finished goods e. Factory overhead applied to jobs according to the predetermined overhead rate f. Materials requisitioned to jobs g. Selling of finished product h. Preparation of financial statements to determine gross profit
2. The entry to assign the costs of indirect labor for the janitor responsible for cleaning the factory where a manufacturer makes cars would include a debit to which account? O manufacturing overhead O work-in-process inventory O finished goods inventory Owages payable
The journal entry for adjustment of underallocated manufacturing overhead includes a: A) credit to Finished Goods Inventory. B) credit to Manufacturing Overhead. C) debit to Work-in-Process Inventory. D) credit to Cost of Goods Sold.
Use the information to prepare a schedule of cost of goods manufactured and an income statement. Assume no indirect materials are used and all amounts are shown in millions.
Prepare a journal entry to close any balance in the Manufacturing Overhead account to Cost of Goods Sold.
Concepts and terminology From the choices presented in parentheses, choose the appropriate term for completing each of the following sentences: Materials for use in production are called (supplies, materials inventory). An example of factory overhead is (electricity used to run assembly line, CEO salary).
The entry to record the purchase of raw materials on account using a job costing system would include a credit to Work-in-Process Inventory account. debit to Accounts Payable account. debit to Work-in-Process Inventory account. debit to Raw Materials Inventory account.
The following is part of Production Overheads a. Office Salary b. Depreciation of Office AC c. Depreciation of Machine d. Salesman Salary