Prepare journal entries to record the transfer of completed units from Work in process to Finished goods for October and November.

Record the sale of Job 3 for $2,100.

What is the gross profit for Job 3? What other costs must this gross profit cover?

Q50. Calculate Quaints construction overhead application rate for the year.

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

Q52. Open T-accounts for Work in process inventory and Finished goods inventory. Post the appropriate entries to these accounts, identifying each entry by letter. Determinethe ending account balances, assuming that the beginning balances were zero.

Q53. Add the costs of the unfinished houses, and show that this total amount equals the ending balance in the Work in process inventory account.

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.

Q55. Compute gross profit on the house that was sold. What costs must gross profit cover for Quaint Construction?

Prepare a job cost record similar to Exhibit 17-6 for Job 423. Calculate the pre- determined overhead rate; then allocate manufacturing overhead to the job.

Q57. Journalize in summary form the requisition of direct materials (including the movie files) and the assignment of direct labor and manufacturing overhead to Job 423.

Journalize completion of the job and the sale of the 5,900 DVDs.

Q59. Compute the predetermined manufacturing overhead rate.

Post actual and allocated manufacturing overhead to the Manufacturing over- head T-account.

Close the under- or overallocated overhead to Cost of goods sold.

The predetermined manufacturing overhead rate usually turns out to be inaccu- rate. Why dont accountants just use the actual manufacturing overhead rate?

Q63. Compute Crow Designs direct labor rate and its predetermined indirect cost allocation rate for 2012.

Compute the total cost of each job.

If Simone wants to earn profits equal to 50% of service revenue, how much (what fee) should she charge each of these two clients?

Q66. Why does Crow Design assign costs to jobs?

Which type of costing system is Stratton using? What piece of data did you base your answer on?

Use the dates in the table to identify the status of each job. Compute Strattons account balances at October 31 for Work in process inventory, Finished goods inventory, and Cost of goods sold. Compute, by job, account balances at November 30 for Work in process inventory, Finished goods inventory, and Cost of goods sold.

Q69. Prepare journal entries to record the transfer of completed units from work in process to finished goods for October and November.

Record the sale of Job 3 for $2,200.

What is the gross profit for Job 3? What other costs must this gross profit cover?

Q72. Calculate Cottages construction overhead application rate for the year.

Record the events in the general journal.

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.

Q75. Add the costs of the unfinished houses, and show that this total amount equals the ending balance in the Work in process inventory account.

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.

Compute gross profit on the house that was sold. What costs must gross profit cover for Cottage Construction?

Q78. Prepare a job cost record similar to Exhibit 17-6 for Job 423. Calculate the pre- determined overhead rate, then allocate manufacturing overhead to the job.

Journalize in summary form the requisition of direct materials (including the movie files) and the assignment of direct labor and manufacturing overhead to Job 423.

Journalize completion of the job and the sale of the 5,500 DVDs.

Q81. Journalize the transactions for the company. School uses a perpetual inven- tory system.

Open T-accounts for the general ledger, the Materials ledger, the Work in process ledger, and the Finished goods ledger. Insert each account balance as given, and use the reference Bal. Post the journal entries to the T-accounts using the transac- tion letters as a reference.

Q83. Prepare a trial balance at June 30, 2012.

Use the Work in process inventory T-account to prepare a schedule of cost of goods manufactured for the month of June. (You may want to review Exhibit 16-10.)

Q85. Prepare an income statement for the month of June. To calculate cost of goods sold, you may want to review Exhibit 16-7. ( Hint : In transaction l, you closed any under/overallocated manufacturing overhead to Cost of goods sold. In the income statement, show this correction as an adjustment to Cost of goods sold. If manufac- turing overhead is underallocated, the adjustment will increase Cost of goods sold. If overhead is overallocated, the adjustment will decrease Cost of goods sold.)

Q86. Compute the predetermined manufacturing overhead rate.

Post actual and allocated manufacturing overhead to the Manufacturing over- head T-account.

Compute Skylark Designs direct labor rate and its predetermined indirect cost allocation rate for 2012.

Q89. Compute the total cost of each job.

If Jacquin wants to earn profits equal to 50% of sales revenue, how much (what fee) should she charge each of these two clients?

Why does Skylark Design assign costs to jobs?

Q92. Lawlor allocates overhead costs based on 60% of direct labor cost. What is the total cost of the Sheldon job?

If the price Sheldon paid for the job is $3,460, what is the profit or loss on the job?

Compute Drapers predetermined indirect cost allocation rate for 2013.

Compute the total cost of each job.

Q96. If Draper wants to earn profits equal to 25% of sales revenue, how much (what fee) should it charge each of these two clients?

Why does Draper assign costs to jobs?

Do you agree with the cost analysis for the second order? Explain your answer.

Q99. Should the two orders be accounted for as one job or two in Hieberts system?

What sale price per box should Ben Hiebert set for the second order? What are the advan- tages and

disadvantages of this price?

Q101. What are the advantages and disadvantages of Ortegas proposal?

Should Natures Own Garden compute its predetermined manufacturing overhead rate on an annual basis or monthly basis? Explain.

Q103. How did using manufacturing cost only, instead of using all costs associated with the CompWest.com job, affect the amount of Farleys bid for the job?

Identify the parties involved in Paul Yorks dilemma. What are his alternatives? How would each party be affected by each alternative? What should York do next?

Q105. Based on what you have read above, what was Jerrys company using as a cost driver to allocate overhead to the various jobs?

Name two ways that reducing costs on the civilian contracts would benefit the company.

Q107. Use the data to determine the following for Delta :

1. The total cost of Flight 1247, assuming a full plane (100% load factor)

2. The revenue generated by Flight 1247, assuming a 100% load factor and average revenue per one-way ticket of $102

3. The profit per Flight 1247, given the responses to a. and b.

Q108. Use the data to determine the following for JetBlue :

1. The total cost of Flight 53, assuming a full plane (100% load factor)

2. The revenue generated by Flight 53, assuming a 100% load factor

3. The profit per Flight 53, given the responses to a. and b.

Q109. Based on the responses to Requirements 1 and 2, carefully evaluate each of the four alter- native strategies discussed in Delta s executive meeting.

The analysis in this project is based on several simplifying assumptions. As a team, brain- storm factors that your quantitative evaluation does not include, but that may affect a comparison of Delta s operations to budget carriers.

Q111. The Filtration Department completely processed 150,000 liters in February. What was the filtration cost per liter?

Draw a timeline for the filtration process.

Q113. Compute the equivalent units of direct materials and conversion costs for the Filtration Department.

Compute the total equivalent units of direct materials and conversion costs for October.

Q115. Compute the cost per equivalent unit for direct materials and for conversion costs.

Calculate the cost of the 35,000 units completed and transferred out and the 30,000 units, 40% complete, in the ending Work in process inventory.

Q117. Fill in the timeline for the Blending Department.

Use the timeline to help you compute the Blending Departments equivalent units for direct materials and for conversion costs.

Q119. Compute the total costs of the units (gallons)

1. completed and transferred out to the Packaging Department.

2. in the Blending Department ending Work in process inventory.

Q120. Prepare the journal entries to record the assignment of direct materials and direct labor, and the allocation of manufacturing overhead to the Blending Department. Also, prepare the journal entry to record the costs of the gallons completed and transferred out to the Packaging Department.

Q121. Post the journal entries to the Work in process inventoryBlending T-account. What is the ending balance?

What is the average cost per gallon transferred out of Blending into Packaging? Why would the company managers want to know this cost?

Q123. Draw a timeline for the Fermenting Department.

Use the timeline to help you compute the equivalent units for direct materials and for conversion costs.

Compute the total costs of the units (gallons)

1. completed and transferred out to the Packaging Department.

2. in the Fermenting Department ending Work in process inventory.

Q126. Prepare the journal entries to record the assignment of Direct materials and Direct labor and the allocation of Manufacturing overhead to the Fermenting Department. Also prepare the journal entry to record the cost of the gallons completed and transferred out to the Packaging Department.

Q127. Post the journal entries to the Work in process inventoryFermenting T-account. What is the ending balance?

What is the average cost per gallon transferred out of Fermenting into Packaging? Why would Samson Winerys managers want to know this cost?

Q129. Compute the Bottling Department equivalent units for the month of February. Use the weighted-average method.

Compute the cost per equivalent unit for February.

Q131. Assign the costs to units completed and transferred out and to ending Work in process inventory.

Prepare the journal entry to record the cost of units completed and transferred out.

Q133. Post all transactions to the Work in process inventoryBottling Department T-account. What is the ending balance?

Compute the number of equivalent units and the cost per equivalent unit in the Assembly Department for November.

Q135. Assign total costs in the Assembly Department to (a) units completed and trans- ferred to Programming during November and (b) units still in process at November 30.

Q136. Prepare a T-account for Work in process inventoryAssembly to show its activ- ity during November, including the November 30 balance.

Compute the number of equivalent units and the cost per equivalent unit in the Mixing Department for March.

Q138. Show that the sum of (a) cost of goods transferred out of the Mixing Department and (b) ending Work in process inventoryMixing equals the total cost accumu- lated in the department during March.

Q138. Journalize all transactions affecting the companys mixing process during March, including those already posted.

Draw a timeline for the Preparation Department.

Q140. Use the timeline to help you compute the equivalent. ( Hint : Each direct material added at a different point in the production process requires its own equivalent- unit computation.)

Q141. Compute the total costs of the units (sheets)

1. completed and transferred out to the Compression Department in the Preparation Departments ending Work in process inventory.

Q142. Prepare a timeline for Christines Dyeing Department.

Use the timeline to help you compute the equivalent units, cost per equivalent unit, and total costs to account for in Christines Dyeing Department for November

Q144. Prepare the November production cost report for Christines Dyeing Department.

Journalize all transactions affecting Christines Dyeing Department during November, including the entries that have already been posted.

Q146. Draw a timeline for the Testing Department.

Use the timeline to compute the number of equivalent units of work performed by the Testing Department during the period.

Q148. Compute WaterBounds transferred-in and conversion costs per equivalent unit. Use the unit costs to assign total costs to (a) units completed and transferred out of Testing and (b) units in Testings ending Work in process inventory.

Q149. Compute the cost per unit for lifts completed and transferred out to Finished goods inventory. Why would management be interested in this cost?

Compute the number of equivalent units and the cost per equivalent unit in the Assembly Department for April.

Assign total costs in the Assembly Department to (a) units completed and trans- ferred to Programming during April and (b) units still in process at April 30.

Q152. Prepare a T-account for Work in process inventoryAssembly to show its activ- ity during April, including the April 30 balance.

Compute the number of equivalent units and the cost per equivalent unit in the Mixing Department for September.

Q153. Show that the sum of (a) cost of goods transferred out of the Mixing Department and (b) ending Work in process inventoryMixing equals the total cost accumu- lated in the department during September.

Journalize all transactions affecting the companys mixing process during September, including those already posted.

Q155. Draw a timeline for the Preparation Department.

Use the timeline to help you compute the equivalent units. ( Hint : Each direct material added at a different point in the production process requires its own equivalent-unit computation.)

Q157. Compute the total costs of the units (sheets)

1. completed and transferred out to the Compression Department.

2. in the Preparation Departments ending Work in process inventory.

Q158. Prepare the journal entry to record the cost of the sheets completed and trans- ferred out to the Compression Department.

Post the journal entries to the Work in process inventoryPreparation T-account. What is the ending balance?

Prepare a timeline for Carols Dyeing Department.

Q161. Use the timeline to help you compute the equivalent units, cost per equivalent unit, and total costs to account for in Carols Dyeing Department for July.

Prepare the July production cost report for Carols Dyeing Department.

Journalize all transactions affecting Carols Dyeing Department during July, including the entries that have already been posted.

Q164. Draw a timeline for the Testing Department.

Use the timeline to compute the number of equivalent units of work performed by the Testing Department during the period.

Q166. Compute OceanBounds transferred-in and conversion costs per equivalent unit. Use the unit costs to assign total costs to (a) units completed and transferred out of Testing and (b) units in Testings ending Work in process inventory.

Q167. Compute the cost per unit for lifts completed and transferred out to Finished goods inventory. Why would management be interested in this cost?