/*! This file is auto-generated */ .wp-block-button__link{color:#fff;background-color:#32373c;border-radius:9999px;box-shadow:none;text-decoration:none;padding:calc(.667em + 2px) calc(1.333em + 2px);font-size:1.125em}.wp-block-file__button{background:#32373c;color:#fff;text-decoration:none} Q16E. Question: Match the following te... [FREE SOLUTION] | 91影视

91影视

Log out

Learning Materials

Features

Discover

Chapter 17: Q16E. (page 942)

Question: Match the following terms to their definitions.

a. A record used to assign direct labor cost to specific jobs. 1. Job

b. A document that requests the transfer of materials to 2. Job cost order

the production floor.

c. A document that shows the direct materials, direct labor, 3. Job order costing

and manufacturing overhead costs for an individual job.

d. An accounting system that accumulates costs by process. 4. Labor time record

e. The production of a unique product or specialized service 5. Material requisition

f. Used by companies that manufacture unique products or 6. Process costing system

provide specialized services

Short Answer

Expert verified

Answer:

The matching is as follows:

A 鈥� 4

B 鈥� 5

C 鈥� 2

D 鈥� 6

E 鈥� 1

F 鈥� 3

Step by step solution

01

Direct material

Direct material means the raw material used by the company in manufacturing the product of the company.

02

Match the terms with their definitions

A

A record used to assign direct labor cost to specific job

4.

Labor time record

B

A document that requests the transfer of materials to the production floor

5.

Material requisition

C

A document that shows the direct materials, direct labor, and manufacturing overhead costs for an individual job

2.

Job cost order

D

An accounting system that accumulates cost by process

6.

Process costing system

E

The production of a unique product or specialized service requisition

1.

Job

F

Used by companies that manufacture unique products or provide specialized services

3.

Job order costing

Unlock Step-by-Step Solutions & Ace Your Exams!

  • Full Textbook Solutions

    Get detailed explanations and key concepts

  • Unlimited Al creation

    Al flashcards, explanations, exams and more...

  • Ads-free access

    To over 500 millions flashcards

  • Money-back guarantee

    We refund you if you fail your exam.

Over 30 million students worldwide already upgrade their learning with 91影视!

One App. One Place for Learning.

All the tools & learning materials you need for study success - in one app.

Get started for free

Most popular questions from this chapter

Meadow Construction, Inc. is a home builder in Arizona. Meadow uses a job order costing system in which each house is a job. Because it constructs houses, the company uses an account titled Construction Overhead. The company applies overhead based on estimated direct labor costs. For the year, it estimated construction overhead of \(1,150,000 and total direct labor costs of \)5,750,000. The following events occurred during August:

a. Purchased materials on account, \(450,000.

b. Requisitioned direct materials and used direct labor in construction. Recorded the materials requisitioned.

Direct material

Direct Labor

House 402

\)52,000

\(47,000

House 403

67,000

36,000

House 404

63,000

54,000

House 405

88,000

52,000

c. The company incurred total wages of \)240,000. Use the data from Item b to

assign the wages. Wages are not yet paid.

d. Depreciation of construction equipment, \(6,300.

e. Other overhead costs incurred: Equipment rentals paid in cash, \)40,000; Worker liability insurance expired, \(5,000.

f. Allocated overhead to jobs.

g. Houses completed: 402, 404.

h. House sold on account: 404 for \)250,000.

Requirements

1. Calculate Meadow鈥檚 predetermined overhead allocation rate for the year.

2. Prepare journal entries to record the events in the general journal.

3. Open T-accounts for Work-in-Process Inventory and Finished Goods Inventory.

Post the appropriate entries to these accounts, identifying each entry by letter.

Determine the ending account balances, assuming that the beginning balances

were zero.

4. Add the costs of the unfinished houses, and show that this total amount equals the ending balance in the Work-in-Process Inventory account.

5. Add the cost of the completed house that has not yet been sold, and show that this equals the ending balance in Finished Goods Inventory.

6. Compute gross profit on the house that was sold. What costs must gross profit

cover for Meadow Construction?

Following is a list of cost system characteristics and sample companies. Match each to either job order costing or process costing.

j. A governmental agency that takes bids for specific items it utilizes where each item requires a separate bid.

Question: Explain the difference between underallocated overhead and overallocated overhead. What causes each situation?

Question: Give the journal entry for raw materials purchased on account. Explain how this transaction affects the accounting equation.

The manufacturing records for Sporty Kayaks at the end of the 2018 fiscal year show the following information about manufacturing overhead:

Overhead allocated to production

\(409,200

Actual manufacturing overhead cost

432,000

Predetermined overhead allocation rate

\)44 per machine hours

Requirements

2. Was manufacturing overhead overallocated or underallocated for the year, and by how much?
See all solutions

Recommended explanations on Business Studies Textbooks

Organizational Communication

Read Explanation

Finance Literacy (Business Studies)

Read Explanation

Managerial Economics

Read Explanation

Public Relations Business Studies

Read Explanation

Strategic Direction

Read Explanation

Family Business

Read Explanation
View all explanations

What do you think about this solution?

We value your feedback to improve our textbook solutions.

Study anywhere. Anytime. Across all devices.