Job Costing MCQs

Option A: $1,775,000

Option B: $1,675,000

Option C: $1,875,000

Option D: $1,975,000

Correct Answer: $1,775,000 ✔

Option A: cost application base

Option B: sale application base

Option C: price application base

Option D: direct application base

Correct Answer: cost application base ✔

Option A: budget overhead applied

Option B: manufacturing overhead applied

Option C: labor overhead applied

Option D: none of above

Correct Answer: manufacturing overhead applied ✔

Option A: 69.72%

Option B: 79.72%

Option C: 99.75%

Option D: 89.72%

Correct Answer: 89.72% ✔

Option A: $168,750

Option B: $148,570

Option C: $186,750

Option D: $125,680

Correct Answer: $168,750 ✔

Option A: over allocated budget

Option B: under allocated budget

Option C: under allocated indirect cost

Option D: over allocated direct cost

Correct Answer: over allocated budget ✔

Option A: $803.571 per labor hour

Option B: $805 per labor hour

Option C: $905 per labor hour

Option D: $802 per labor hour

Correct Answer: $803.571 per labor hour ✔

Option A: $93,450

Option B: $94,560

Option C: $96,450

Option D: $95,450

Correct Answer: $95,450 ✔

Option A: sales allocation

Option B: cost tracing

Option C: cost allocation

Option D: sales tracing

Correct Answer: cost allocation ✔

Option A: 67.30%

Option B: 87.31%

Option C: 55.50%

Option D: 45.50%

Correct Answer: 87.31% ✔

Option A: 109.87

Option B: $107.78

Option C: $106.56

Option D: $104.34

Correct Answer: $107.78 ✔

Option A: priced costing

Option B: actual costing

Option C: direct costing

Option D: indirect costing

Correct Answer: actual costing ✔

Option A: under allocated indirect cost

Option B: over allocated direct cost

Option C: over allocated budget

Option D: under allocated budget

Correct Answer: under allocated indirect cost ✔

Option A: $78,000

Option B: −$78000

Option C: −$8000

Option D: $8,000

Correct Answer: −$8000 ✔

Option A: linked allocation base

Option B: direct allocation base

Option C: indirect allocation base

Option D: cost allocation base

Correct Answer: cost allocation base ✔

Option A: 112.34 per piece

Option B: 113.34 per piece

Option C: 111.34 per piece

Option D: 110.34 per piece

Correct Answer: 113.34 per piece ✔

Option A: manufacturing overhead allocated

Option B: cost overhead applied

Option C: manufacturing overhead applied

Option D: both A and C

Correct Answer: both A and C ✔

Option A: $138 per labor hour

Option B: $137.27 per hour

Option C: $140 per labor hour

Option D: $142 per labor hour

Correct Answer: $137.27 per hour ✔

Option A: $126.32 per labor hour

Option B: $128.32 per labor hour

Option C: $130 per labor hour

Option D: $132 per labor hour

Correct Answer: $126.32 per labor hour ✔

Option A: selling time record

Option B: labor time record

Option C: buying time record

Option D: direct time record

Correct Answer: labor time record ✔

Option A: $1500 per machine hour

Option B: $250 per machine hour

Option C: $500 per machine hour

Option D: $1000 per machine hour

Correct Answer: $500 per machine hour ✔

Option A: $4,730,000

Option B: $3,730,000

Option C: $2,730,000

Option D: $1,730,000

Correct Answer: $2,730,000 ✔

Option A: cost assignment

Option B: cost expectation

Option C: event assignment

Option D: probability assignment

Correct Answer: cost assignment ✔

Option A: unadjusted allocation rate approach

Option B: adjusted budget rate approach

Option C: unadjusted budget rate approach

Option D: adjusted allocation rate approach

Correct Answer: adjusted allocation rate approach ✔

Option A: actual manufacturing overhead rate

Option B: manufacturing overhead costs

Option C: overhead rate

Option D: direct rate

Correct Answer: actual manufacturing overhead rate ✔

Option A: under applied indirect cost

Option B: under absorbed indirect cost

Option C: absorbed indirect cost

Option D: both a and b

Correct Answer: both a and b ✔

Option A: 15.67 per piece

Option B: 16.67 per piece

Option C: 14.67 per piece

Option D: 13.67 per piece

Correct Answer: 16.67 per piece ✔

Option A: costing method

Option B: selling method

Option C: material acquisition method

Option D: none of above

Correct Answer: material acquisition method ✔

Option A: expected total direct labor cost

Option B: budgeted total direct labor cost

Option C: budgeted total indirect labor cost

Option D: expected labor hours

Correct Answer: budgeted total direct labor cost ✔

Option A: budgeted indirect labor cost rate

Option B: expected direct labor cost rate

Option C: budgeted direct labor cost rate

Option D: expected indirect labor cost rate

Correct Answer: budgeted direct labor cost rate ✔

Option A: applied indirect cost

Option B: applied direct cost

Option C: incurred indirect cost

Option D: over allocated indirect cost

Correct Answer: over allocated indirect cost ✔

Option A: expected indirect cost rate

Option B: expected direct cost rate

Option C: budgeted indirect cost rate

Option D: budgeted direct cost rate

Correct Answer: budgeted indirect cost rate ✔

Option A: sale costing system

Option B: job costing system

Option C: price costing system

Option D: process costing system

Correct Answer: process costing system ✔

Option A: proration approach

Option B: appreciation approach

Option C: depreciation approach

Option D: adjusted approach

Correct Answer: proration approach ✔

Option A: cost document

Option B: priced document

Option C: source document

Option D: direct document

Correct Answer: source document ✔

Option A: $48,000

Option B: −$2000

Option C: $2,000

Option D: −$48000

Correct Answer: $2,000 ✔

Option A: unadjusted budget rate approach

Option B: adjusted allocation rate approach

Option C: unadjusted allocation rate approach

Option D: adjusted budget rate approach

Correct Answer: adjusted allocation rate approach ✔

Option A: manufacturing overhead applied

Option B: labor overhead applied

Option C: cost overhead applied

Option D: budget overhead applied

Correct Answer: manufacturing overhead applied ✔

Option A: $60

Option B: $90

Option C: $80

Option D: $70

Correct Answer: $90 ✔

Option A: over allocated budget

Option B: under allocated budget

Option C: under allocated indirect cost

Option D: over allocated direct cost

Correct Answer: under allocated indirect cost ✔

Option A: job cost record

Option B: job cost sheet

Option C: source document

Option D: both a and b

Correct Answer: both a and b ✔

Option A: cost

Option B: job

Option C: post

Option D: price

Correct Answer: job ✔

Option A: per unit cost

Option B: per post cost

Option C: per price cost

Option D: application cost

Correct Answer: per unit cost ✔

Option A: direct pool

Option B: cost pool

Option C: indirect pool

Option D: item pool

Correct Answer: cost pool ✔

Option A: incurred indirect cost

Option B: over allocated indirect cost

Option C: applied indirect cost

Option D: applied direct cost

Correct Answer: over allocated indirect cost ✔

Option A: cost allocation

Option B: sales tracing

Option C: sales allocation

Option D: cost tracing

Correct Answer: cost allocation ✔