ACCT344 Cost Accounting: Week 2 Quiz (Version 2)

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ACCT344 Cost Accounting
Week 2 Quiz (Version 2)

1. (TCO 3) The process that accumulates production costs by process and uses a work-in-process account for each process is called (Points : 3)
process costing.
joint costing.
variable costing.
job-order costing.

2. (TCO 3) Which is NOT a feature of a process costing system? (Points : 3)
Standardized products pass through standardized processes.
Each unit is treated uniquely in receiving a process.
Manufacturing costs are accumulated by a process for a given time period.
Unit costs are calculated for each department.

3. (TCO 3) 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 (Points : 3)
units completed.
equivalent units.
units started and completed.
total units in production.

4. (TCO 3) Holly Inc. manufactures dolls. The following data were provided for production results for the current month.
0 Units, beginning work-in-process
300 Units started
? Units completed
100 Units, ending work-in-process (40% complete)

Which was the total number of units to account for? (Points : 3)
None of the above

5. (TCO 3) When products and their costs are moved from one process to the next process, these costs are referred to as (Points : 3)
unit costs.
transferred-in costs.
WIP inventory costs.
equivalent unit costs.

6. (TCO 3) Keller Inc. manufactures office chairs. The following data were provided for production results for the current month.
0 Units, beginning work-in-process
6,000 Units started
? Units completed
2,000 Units, ending work-in-process

$440,000 Cost of direct materials
$64,000 Cost of conversion
Ending inventory is 100% complete for materials and 20% complete for conversion.

How many units were started and completed? (Points : 3)
None of the above

7. (TCO 3) Unit cost of materials for a department using the FIFO method of process costing is found by taking the total cost of materials issued to the department during the year divided by (Points : 3)
units in process.
units started and completed.
total units manufactured.
equivalent units of output.

8. (TCO 3) Abby Corp. adds raw materials to production at the beginning of the process in the Assembly Dept. Materials data for this department for the current month are as follows.
Units Materials Conversion
Beginning work-in-process 10,000 $70,750 $175,350
Started during month 65,000 $250,000 $736,350
Ending work-in-process 6,000

Beginning inventory was 70% complete.
Ending inventory was 40% complete.

If beginning inventory contained 4,000 units of product that were judged to be 70% complete as to labor, the equivalent units of production for labor during the current period under the FIFO method for these 4,000 units are (Points : 3)

9. (TCO 3) The following information was provided by Sally Company.
% complete Units
Beginning work-in-process 25% 25,000
Units transferred in 75,000
Ending work-in-process 50% 15,000

How many equivalent units for materials would there be using the weighted average method? (Points : 3)

10. (TCO 3) The costs included in the cost per equivalent unit using the weighted average method are (Points : 3)
current costs.
beginning work in process.
ending work in process.
Both A and B
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