| Fixed costs increase in total and on a per-unit basis. 3. Sykes Company has sales revenue of $585,700. Cost of goodssold before adjustment is $335,900. The company's actualmanufacturing overhead is $91,900 while allocated manufacturingoverhead is $105,300. What is the actual gross profit? | $263,200 | | $249,800 | | $157,900 | | $236,400 4. Baxter Company produces Frisbees using athree-step sequential process that includes molding, coloring, andfinishing. At what stage would the sets be allocated ManufacturingOverhead? | When the Frisbees are in WIPInventory-Coloring | | When the Frisbees are in WIPInventory-Finishing | | When the Frisbees are in WIPInventory-Molding | | All of the above 5. Which method are managers using when they use their judgmentto classify costs as variable, fixed, or mixed? | Low-high method | | Regression analysis | | Account analysis | | High-low method 6. Which of the following is not a way in which management canuse job cost information? | Determining the balance in rawmaterials inventory | | Preparing the financialstatements | | Assessing and comparing theprofitability of each product type | | Using the cost information in determining the bid price forcustom orders 7. Which of the following is not a way in which management canuse job cost information? | Determining the balance in rawmaterials inventory | | Preparing the financialstatements | | Assessing and comparing theprofitability of each product type | | Using the cost information in determining the bid price forcustom orders 8. Tall Timbers reports the following data for its first year ofoperation: Work in process inventory, beginning | $ 0 | Work in process inventory, ending | $50,200 | Manufacturing overhead | $25,400 | Direct materials used | $7,700 | Direct Labor | $60,000 | Finished goods inventory, beginning | $ 0 | Finished goods inventory, ending | $20,000 | Cost of goods manufactured | $42,900 | What is the cost of goods sold? | $22,900 | | $76,000 | | $73,100 | | $42,900 9. A deodorant manufacturer offers the following information: | WIP Inventory, January 1 | 0 units | | Units started | 33,600 units | | Units completed and transferred out | 11,200 units | | WIP Inventory, December 31 | 22,400 units | | Direct materials | $276,480 | | Direct labor | $585,000 | | Manufacturing Overhead | $328,920 | The units in ending WIP Inventory were 60% complete formaterials and 40% complete for conversion costs. On December 31, what are the total equivalent units for directmaterials? | 47,040 | | 33,600 | | 20,160 | | 24,640 10. How is the cost of indirect materials used in the factoryrecorded? | Credit to Raw Materials Inventoryaccount | | Credit to Manufacturing Overheadaccount | | Credit to Direct Materials Expenseaccount | | Credit to Work-in-Process Inventory account 11. XYZ uses job costing. Actual manufacturing overhead for theperiod is $20,300 while allocated manufacturing overhead is$18,200. What entry will close the manufacturing overheadbalance? | Debit the Cost of Goods Soldaccount and credit the Finished Goods Inventory account for$2,100. | | Debit the Manufacturing Overheadaccount and credit the Work-in-Process account for $2,100. | | Debit the Cost of Goods Soldaccount and credit the Manufacturing Overhead account for$2,100. | | Debit the Manufacturing Overheadaccount and credit the Cost of Goods Sold account for $2,100. | | | | | | | | | |
