Southwestern ACCT111 Chapter 3 Quiz Latest 2021

ACCT111 Managerial Accounting

Chapter 3 Quiz

Question 1 In a process cost system, total costs are determined at the end of a period of time, such as a month

True

False

Question 2The accumulation of the costs of materials, labor and manufacturing overhead is the same in a process cost system as in a job order cost system

True

False

Question 3Equivalent units of production equals units completed and transferred out + units in beginning work in process

True

False

Question 4Two equivalent unit computations are necessary – one for materials and the other for conversion costs

True

False

Question 51.       In a process cost system, the unit cost is the total manufacturing costs divided by the equivalent units produced during the period

True

False

Question 6Which of the following is not a step in preparing a production cost report?

Answers:            

Preparing a cost reconciliation schedule

Compute equivalent units of production

Compute the physical unit flow

Assign costs to particular jobs

Question 7A department has no beginning work in process, has started 80,000 units and completed 50,000 units.  Its ending work in process is 30,000 units, 60% complete as to conversion costs and fully complete as to materials.  Its equivalent units for conversion costs are:

50,000

80,000

68,000

44,000

Question 8In process costing, the computation of unit production costs requires:

The accumulation of material and conversion costs in work in process for each department or process

The computation of equivalent units for material and conversion costs

Both a and b

Neither a nor b

Question 9Which of the following is not included in a production cost report?

Costs accounted for

Entries to assign cost

Units accounted for

Units to be accounted for

Question 10Unit costs for materials and conversion costs amount to $4 and $5 respectively. The ending work in process costs for 8,000 units (100% complete as to material and 70% complete as to conversion costs) amount to

$60,000

$72,000

$44,000

$40,000