Finals CAC

PART 1MULTIPLE CHOICE COST ACCOUNTING AND CONTROL Final Examination 1.In order to compute equivalent units of production using the Weighted Average method of process costing, the following equation should be used: a.Equivalent units of beginning work in process + units completed and transferred out b.Equivalent units of beginning work in process + equivalent units of ending work in process c.Units completed and transferred out + equivalent units of ending work in process d.Units completed and transferred out + equivalent units of beginning work in process 2.If beginning work in process is 2,000 units, ending work in process is 1,000 units, and the units accounted for equals 5,000units, what are the units completed and transferred out? a. 7,000b. 6,000c. 4,000d. 2,000 3.S Company had the following department information about physical units and percentage of completion: Physical Units Work in process, May 1 (60%)36,000 Completed and transferred out90,000 Work in process, May 31 (40%)30,000 If materials are 100% complete at the beginning of the production process, what is the total number of equivalent units for materials during May? a. 66,000b. 120,000c. 156,000d. 102,000 4.S Company had the following department information about physical units and percentage of completion: Physical Units Work in process, May 1 (60%)36,000 Completed and transferred out90,000 Work in process, May 31 (40%)30,000 If materials are 100% complete at the beginning of the production process, what is the total number of equivalent units for conversion during May? a. 66,000b. 120,000c. 156,000d. 102,000 5.One characteristic of products that are mass-produced in a continuous production process is that a.The products are identical or very similar in nature. b.They are grouped in batches. c.They are produced at the time an order is received. d.Their costs are accumulated on job cost sheets. 6.Conversion costs are the sum of: a.Direct materials costs and direct labor costs b.Indirect materials costs and indirect labor cost c.Direct materials costs and overhead costs d.Direct labor costs and overhead costs The next 3 questions refer to the following information. In the month of June, department X had 10,000 units in beginning work in process that were 70% complete. During June, 40,000 units were completed and transferred into production from another department. At the end of June, there were 5,000 units in ending work in process that were 40% complete. Materials are added at the beginning of the process, while conversion costs are incurred uniformly throughout the process. The total cost for materials was P450,000 and conversion was P400,000. 7.What was the unit materials costs in June? a. 8.18b. 9.00c. 10.00d. 10.71 8.What was the unit conversion cost in June? a. 7.27b. 7.69c. 8.88d. 9.52 9.What was the total manufacturing cost per unit? a. 19.52b. 17.69c. 17.97d. 18.88 10.A production cost report a.Used to record the costs chargeable to a specific job b.Shows only cost data for a production department c.Provides a basis for evaluating the productivity of a department d.Combines process cost and job order costing systems costs 11.Which is not a similarity between job order costing and process costing?