Managerial Questions - 22239

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1.Inajob-ordercostsystem,theapplicationofmanufacturingoverheadusuallywouldbe recordedasadebitto:

A)  ManufacturingOverhead. B)  CostofGoodsSold.

C)  FinishedGoodsinventory. D)  WorkinProcessinventory.


2.Themanufacturingoperationthatwouldbemostlikelytouseajob-ordercosting systemis:

A)  shipbuilding.

B)  toymanufacturing.

C)  candymanufacturing. D)  crudeoilrefining.


3.Therearetwoacceptablemethodsforclosingoutanybalanceofunder-or overapplied overhead.Onemethodinvolvesallocation,whereastheotherclosesanybalancedirectlyto: A)  WorkinProcessinventory.                              B)CostofGoodsManufactured.


C)  FinishedGoodsinventory.                       D)CostofGoodsSold.

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