66) In backflush costing, the journal entry to record the cost of goods sold during the period would include a

A) debit to Finished Goods Inventory.

B) debit to Conversion Costs.

C) credit to Work-in-process.

D) debit to Cost of Goods Sold.

67) In backflush costing, any remaining balance in the conversion costs account at the end of an accounting period is charged to

A) Cost of Goods Sold.

B) Work-in-process.

C) Finished Goods Inventory.

D) Cost of Goods Sold, WIP and Finished Goods Inventory proportionately.

68) Backflush costing provides reasonably accurate product costs if

A) materials inventories are high and production cycle times are short.

B) materials inventories are low and production cycle times are short.

C) materials inventories are low and production cycle times are long.

D) materials inventories are high and production cycle times are long.

69) A hybrid-costing system often used for batch or group manufacturing of goods that have some common characteristic plus some individual characteristics is called

A) job-order costing.

B) process costing.

C) operation costing.

D) backflush costing.

70) All of the following are examples of products that would be accounted for using operation costing EXCEPT

A) personal computers.

B) clothing.

C) semiconductors.

D) airplanes.

71) Which of the following classifications vanish as a result of operation costing?

A) Direct labour only

B) Direct materials only

C) Direct materials and factory overhead

D



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