All of the following statements are true regarding cost accounting systems except O a. managers use...
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All of the following statements are true regarding cost accounting systems except O a. managers use product costs from cost accounting systems for setting product prices, controlling operations, and developing financial statements O b. a company may use a job order cost system for some of its products and a process cost system for other products. Oc. a job order cost system provides product costs for each quantity of product that is manufactured. O d. a company must use either a job order cost system for all of its products/services or a process cost system for all of its products/services-it cannot use th < Entries for Costs in a Job Order Cost System Royal Technology Company uses a job order cost system. The following data summarize the operations related to production for March: a. Materials purchased on account, $770,000 b. Materials requisitioned, $680,000, of which $75,800 was for general factory ush c. Factory labor used, $756,000, of which $182,000 was indirect d. Other costs incurred on account for factory overhead, $245,000; selling expenses, $171,500: and administrative expenses, $110,500 e. Prepaid expenses expired for factory overhead, $24,500; for selling expenses, $28,420; and for administrative expenses, $16,560 f. Depreciation of factory equipment was $49,500; of office equipment, $61,800; and of office building. $14,900 g. Factory overhead costs applied to jobs, $568,500 h. Jobs completed, $1,500,000 1. Cost of goods sold, $1,375,000 Required: Journalize the entries to record the summarized operations. For a compound transaction, if an amount box does not require an entry, leave it blank. a. Materials purchased on account, $770,000. Description Entry a. Debit Entry b. Credit b. Materials requisitioned, $680,000, of which $75,800 was for general factory use. Description Debit Credit c. Factory labor used, $756,000, of which $182,000 was indirect. Entry Description Debit Credit All of the following statements are true regarding cost accounting systems except O a. managers use product costs from cost accounting systems for setting product prices, controlling operations, and developing financial statements O b. a company may use a job order cost system for some of its products and a process cost system for other products. Oc. a job order cost system provides product costs for each quantity of product that is manufactured. O d. a company must use either a job order cost system for all of its products/services or a process cost system for all of its products/services-it cannot use th < Entries for Costs in a Job Order Cost System Royal Technology Company uses a job order cost system. The following data summarize the operations related to production for March: a. Materials purchased on account, $770,000 b. Materials requisitioned, $680,000, of which $75,800 was for general factory ush c. Factory labor used, $756,000, of which $182,000 was indirect d. Other costs incurred on account for factory overhead, $245,000; selling expenses, $171,500: and administrative expenses, $110,500 e. Prepaid expenses expired for factory overhead, $24,500; for selling expenses, $28,420; and for administrative expenses, $16,560 f. Depreciation of factory equipment was $49,500; of office equipment, $61,800; and of office building. $14,900 g. Factory overhead costs applied to jobs, $568,500 h. Jobs completed, $1,500,000 1. Cost of goods sold, $1,375,000 Required: Journalize the entries to record the summarized operations. For a compound transaction, if an amount box does not require an entry, leave it blank. a. Materials purchased on account, $770,000. Description Entry a. Debit Entry b. Credit b. Materials requisitioned, $680,000, of which $75,800 was for general factory use. Description Debit Credit c. Factory labor used, $756,000, of which $182,000 was indirect. Entry Description Debit Credit
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Related Book For
Governmental and Nonprofit Accounting
ISBN: 978-0132751261
10th edition
Authors: Robert Freeman, Craig Shoulders, Gregory Allison, Robert Smi
Posted Date:
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