What is the correct answer for:

1 Under- or overapplied manufacturing overhead at year-end is most commonly:

A) charged or credited to a special loss account.

B)charged or credited to Cost of Goods Sold.

C)prorated among Work-in-Process Inventory, Finished-Goods Inventory, and Cost of Goods Sold.

D)ignored because there is no effect on the Cash account.

E) charged or credited to Work-in-Process Inventory.

2 What would the cost of fire insurance for a manufacturing plant generally be categorized as?

A)Prime cost.

B)Direct material cost.

C)Product cost.

D)Direct labor cost.

E)Period cost.

3 Which of the following is correct regarding the changing role of managerial accounting?

A)Forward-looking goals have transformed managerial accountants into business advisors

B)The managerial accountant has been transformed into a financial historian in progressive companies.

C)Managerial accountants rarely have the title of analyst or take on leadership roles.

D)The managerial accountant is crunching more numbers than ever before in leading-edge companies.

E)Managerial accountants are typically isolated in separate departments.

4 Metalica Company applies overhead based on machine hours. At the beginning of 20x1, the company estimated that manufacturing overhead would be $500,000, and machine hours would total 20,000. By 20x1 year-end, actual overhead totaled $525,000, and actual machine hours were 25,000. On the basis of this information, the 20x1 predetermined overhead rate was:

A)$20 per machine hour.

B)$25 per machine hour.

C)$0.04 per machine hour.

D)$0.05 per machine hour.

E) $21 per machine hour.