In the "Cal...
Wednesday, 25 June 2014
The least squares regression line given above is said to be a line which "best fits" the...
Bivariate data obtained for the paired variables 
and 
are
shown below, in the table labelled "Sample data." These data are
plotted in the scatter plot in Figure 1, which also displays the
least-squares regression line for the data. The equation for this line
is
.
In the "Cal...
In the "Cal...
margin of error
Car manufacturers advertise gas consumption for new cars. Standards
require mileage estimates to be within a plus or minus .5 of the actual
average with a 99% confidence level. A new model gets between 13 and 29
MPG. What is the margin of error?
The following transactions occurred during the month of April for Kearney Company:
The following transactions occurred during the month of April for Kearney Company:
a. Purchased materials costing $3,000 on account.
b. Requisitioned materials totaling $1,700 for use in production, $500 for Job 443 and the remainder for Job 444.
c. Recorded 50 hours of direct labor on Job 443 and 100 hours on Job 444 for the month. Direct laborers are paid at the rate of $8 per hour.
d. Applied overhead using a plantwide rate of $7.50 per direct labor hour.
e. Incurred and paid in cash actual overhead for the month of $1,230.
f. Completed and transferred Job 443 to Finished Goods.
g. Sold on account Job 442, which had been completed and transferred to Finished Goods in March, for cost ($2,000) plus 25 percent.
Required:
1. Prepare journal entries for transactions (a) through (e).
2. Prepare job-order cost sheets for Jobs 443 and 444. Prepare journal entries for transactions (f) and (g).
3. Prepare a statement of cost of goods manufactured for April. Assume that the beginning balance in the raw materials account was $1,400 and that the beginning balance in the work-in-process account was zero.
a. Purchased materials costing $3,000 on account.
b. Requisitioned materials totaling $1,700 for use in production, $500 for Job 443 and the remainder for Job 444.
c. Recorded 50 hours of direct labor on Job 443 and 100 hours on Job 444 for the month. Direct laborers are paid at the rate of $8 per hour.
d. Applied overhead using a plantwide rate of $7.50 per direct labor hour.
e. Incurred and paid in cash actual overhead for the month of $1,230.
f. Completed and transferred Job 443 to Finished Goods.
g. Sold on account Job 442, which had been completed and transferred to Finished Goods in March, for cost ($2,000) plus 25 percent.
Required:
1. Prepare journal entries for transactions (a) through (e).
2. Prepare job-order cost sheets for Jobs 443 and 444. Prepare journal entries for transactions (f) and (g).
3. Prepare a statement of cost of goods manufactured for April. Assume that the beginning balance in the raw materials account was $1,400 and that the beginning balance in the work-in-process account was zero.
The following transactions occurred during the month of April for Kearney Company:
The following transactions occurred during the month of April for Kearney Company:
a. Purchased materials costing $3,000 on account.
b. Requisitioned materials totaling $1,700 for use in production, $500 for Job 443 and the remainder for Job 444.
c. Recorded 50 hours of direct labor on Job 443 and 100 hours on Job 444 for the month. Direct laborers are paid at the rate of $8 per hour.
d. Applied overhead using a plantwide rate of $7.50 per direct labor hour.
e. Incurred and paid in cash actual overhead for the month of $1,230.
f. Completed and transferred Job 443 to Finished Goods.
g. Sold on account Job 442, which had been completed and transferred to Finished Goods in March, for cost ($2,000) plus 25 percent.
Required:
1. Prepare journal entries for transactions (a) through (e).
2. Prepare job-order cost sheets for Jobs 443 and 444. Prepare journal entries for transactions (f) and (g).
3. Prepare a statement of cost of goods manufactured for April. Assume that the beginning balance in the raw materials account was $1,400 and that the beginning balance in the work-in-process account was zero.
a. Purchased materials costing $3,000 on account.
b. Requisitioned materials totaling $1,700 for use in production, $500 for Job 443 and the remainder for Job 444.
c. Recorded 50 hours of direct labor on Job 443 and 100 hours on Job 444 for the month. Direct laborers are paid at the rate of $8 per hour.
d. Applied overhead using a plantwide rate of $7.50 per direct labor hour.
e. Incurred and paid in cash actual overhead for the month of $1,230.
f. Completed and transferred Job 443 to Finished Goods.
g. Sold on account Job 442, which had been completed and transferred to Finished Goods in March, for cost ($2,000) plus 25 percent.
Required:
1. Prepare journal entries for transactions (a) through (e).
2. Prepare job-order cost sheets for Jobs 443 and 444. Prepare journal entries for transactions (f) and (g).
3. Prepare a statement of cost of goods manufactured for April. Assume that the beginning balance in the raw materials account was $1,400 and that the beginning balance in the work-in-process account was zero.
Garrity, Inc. uses a job-order costing system. During the month
Garrity, Inc. uses a job-order costing system. During the month of May, the following transactions occurred:
a. Purchased materials on account for $27,800.
b. Requisitioned materials totaling $21,000 for use in production. Of the total,
$9,300 was for Job 58, $6,900 for Job 59, and the remainder for Job 60.
c. Incurred direct labor for the month of $27,000, with an average wage of $15 per hour. Job 58 used 800 hours; Job 59, 600 hours; and Job 60, 400 hours.
d. Incurred and paid actual overhead of $15,500 (credit Various Payables).
e. Charged overhead to production at the rate of $7.50 per direct labor hour.
f. Completed and transferred Jobs 58 and 59 to Finished Goods.
g. Sold Job 57 (see beginning balance of Finished Goods) and Job 58 to their respective clients on account for a price of cost plus 40 percent.
Beginning balances as of May 1 were:
Materials ……………………….$ 5,170
Work in Process ………………………0
Finished Goods (Job 58) ………..31,400
Required:
1. Prepare the journal entries for transactions (a) through (g).
2. Prepare brief job-order cost sheets for Jobs 58, 59, and 60.
3. Calculate the ending balance of Raw Materials.
4. Calculate the ending balance of Work in Process.
5. Calculate the ending balance of Finished Goods.
a. Purchased materials on account for $27,800.
b. Requisitioned materials totaling $21,000 for use in production. Of the total,
$9,300 was for Job 58, $6,900 for Job 59, and the remainder for Job 60.
c. Incurred direct labor for the month of $27,000, with an average wage of $15 per hour. Job 58 used 800 hours; Job 59, 600 hours; and Job 60, 400 hours.
d. Incurred and paid actual overhead of $15,500 (credit Various Payables).
e. Charged overhead to production at the rate of $7.50 per direct labor hour.
f. Completed and transferred Jobs 58 and 59 to Finished Goods.
g. Sold Job 57 (see beginning balance of Finished Goods) and Job 58 to their respective clients on account for a price of cost plus 40 percent.
Beginning balances as of May 1 were:
Materials ……………………….$ 5,170
Work in Process ………………………0
Finished Goods (Job 58) ………..31,400
Required:
1. Prepare the journal entries for transactions (a) through (g).
2. Prepare brief job-order cost sheets for Jobs 58, 59, and 60.
3. Calculate the ending balance of Raw Materials.
4. Calculate the ending balance of Work in Process.
5. Calculate the ending balance of Finished Goods.
Job costing
Jacks Ltd is a boutique consulting company providing consulting
services in supply chain management. They pay their consultants at the
rate of $50 per hour worked. When projects are completed, they bill
their clients $100 per hour charged to a project by a consultant. Costs
related to client projects are accumulated/collected using a job order
(project accounting) system. UPS/Fed Ex Delivery costs, travel expenses,
supply costs and consultants wages (paid at $50 per hour) are assigned
directly to client projects (jobs) while administrative support costs
(personal assistants, rent, telecommunication costs and other related
overhead costs) are assigned (allocated) to projects (jobs). The
budgeted annual indirect costs are estimated to be $1,200,000. It is
expected that the labor hours for the coming year are to be 40,000
hours. Assume all payment transactions except wages are in cash.
</o:p>
Activity for March</o:p>
</o:p>
1. Calculate the overhead allocation rate using a normal costing methodology. </o:p>
2. There was $30,000 in the cash account at the beginning of March</o:p>
3. At the beginning of March, Jacks Ltd owed $5,000 in wages payable to consultants for previous months work</o:p>
4. Job 115 had a balance of $5,000 at the beginning of March (This balance includes 30 hours of billable time plus other direct costs charged to the job)</o:p>
5. Job 115 was completed in March. </o:p>
6. Job 116 was started and completed in March while Job 117 was started but not completed.</o:p>
7. During March, Jacks Ltd consultants worked 200 hours. This time was charged to the following jobs – Job 115, 60 hours; Job 116, 100 hours, and Job 117, 40 hours.</o:p>
8. Jacks Ltd paid the previous months consultants wages of $5,000 from February and $8,000 for worked performed in the current month in March.</o:p>
9. Jacks Ltd had delivery and travel expenses as follows: Job 115, $2,500, Job 116, $9,000, and Job 117, $3,000. These were all paid in cash.</o:p>
10. Jacks Ltd paid administrative staff $3,000 for March.</o:p>
11. For March, utilities were $1,200 and were paid in cash in March.</o:p>
12. March rent was $1,500 and was paid in cash in March.</o:p>
13. Overhead is assigned for March.</o:p>
</o:p>
Using a job costing methodology and assuming all expenses except as noted (unpaid wages) are paid in cash and revenues are recorded in accounts receivable perform the following:</o:p>
</o:p>
1. Create T –Accounts for each job (posting any appropriate beginning balances), an overhead control account as well as other needed general ledger accounts (cash for instance)</o:p>
2. Record the Post the above transactions to the appropriate T accounts (number your entries) </o:p>
3. Prepare required journal entries (with proper descriptions with reference to your T-accounts) for March </o:p>
4. Calculate ending Work in Process, Cost of Services and Sales Revenue. Using this information prepare an income statement in good form. </o:p>
Using excel, word or a type writer, submit your answers in class on the assigned date
Activity for March</o:p>
</o:p>
1. Calculate the overhead allocation rate using a normal costing methodology. </o:p>
2. There was $30,000 in the cash account at the beginning of March</o:p>
3. At the beginning of March, Jacks Ltd owed $5,000 in wages payable to consultants for previous months work</o:p>
4. Job 115 had a balance of $5,000 at the beginning of March (This balance includes 30 hours of billable time plus other direct costs charged to the job)</o:p>
5. Job 115 was completed in March. </o:p>
6. Job 116 was started and completed in March while Job 117 was started but not completed.</o:p>
7. During March, Jacks Ltd consultants worked 200 hours. This time was charged to the following jobs – Job 115, 60 hours; Job 116, 100 hours, and Job 117, 40 hours.</o:p>
8. Jacks Ltd paid the previous months consultants wages of $5,000 from February and $8,000 for worked performed in the current month in March.</o:p>
9. Jacks Ltd had delivery and travel expenses as follows: Job 115, $2,500, Job 116, $9,000, and Job 117, $3,000. These were all paid in cash.</o:p>
10. Jacks Ltd paid administrative staff $3,000 for March.</o:p>
11. For March, utilities were $1,200 and were paid in cash in March.</o:p>
12. March rent was $1,500 and was paid in cash in March.</o:p>
13. Overhead is assigned for March.</o:p>
</o:p>
Using a job costing methodology and assuming all expenses except as noted (unpaid wages) are paid in cash and revenues are recorded in accounts receivable perform the following:</o:p>
</o:p>
1. Create T –Accounts for each job (posting any appropriate beginning balances), an overhead control account as well as other needed general ledger accounts (cash for instance)</o:p>
2. Record the Post the above transactions to the appropriate T accounts (number your entries) </o:p>
3. Prepare required journal entries (with proper descriptions with reference to your T-accounts) for March </o:p>
4. Calculate ending Work in Process, Cost of Services and Sales Revenue. Using this information prepare an income statement in good form. </o:p>
Using excel, word or a type writer, submit your answers in class on the assigned date
The costs of a job are accounted for
. The costs of a job are accounted for on the
a. Materials requisition sheet.
b. Time ticket.
c. Requisition for overhead application.
d. Job-order cost sheet.
e. Sales invoice.
2. Wilson Company has a predetermined overhead rate of $5 per direct labor hour. The job-order cost sheet for Job 145 shows 1,000 direct labor hours costing $10,000 and materials requisitions totaling $7,500. Job 145 had 500 units completed and transferred to Finished Goods. What is the cost per unit for Job 145?
a. $35
b. $135
c. $30
d. $45
e. $22,500
3. When a job costing $2,000 is finished but not sold, the following journal entry is made: (Appendix 5A)
a. Cost of Goods Sold 2,000
Finished Goods 2,000
b. Finished Goods 2,000
Cost of Goods Sold 2,000
c. Finished Goods 2,000
Work in Process 2,000
d. Work in Process 2,000
Finished Goods 2,000
e. Cost of Goods Sold 2,000
Sales 2,000
4. Those departments responsible for creating products or services that are sold to customers are referred to as (Appendix 5B)
a. Profit making departments.
b. Support departments.
c. Cost centers.
d. Production departments.
e. None of the above.
5. Those departments that provide essential services to producing departments are referred to as (Appendix 5B)
a. Revenue generating departments.
b. Support departments.
c. Profit centers.
d. Production departments.
e. None of the above.
6. An example of a producing department is (Appendix 5B)
a. A materials storeroom.
b. The maintenance department.
c. Engineering design.
d. Assembly.
e. All of the above.
7. An example of a support department is (Appendix 5B)
a. Data processing.
b. Personnel.
c. A materials storeroom.
d. Payroll.
e. All of the above.
8. The method that assigns support department costs only to producing departments in proportion to each department’s usage of the service is known as (Appendix 5B)
a. The sequential method.
b. The proportional method.
c. The reciprocal method.
d. The direct method.
e. None of the above.
9. The method that assigns support department costs by giving partial recognition to support department interactions is known as (Appendix 5B)
a. The sequential method.
b. The proportional method.
c. The reciprocal method.
d. The direct method.
e. None of the above.
10. The method that assigns support department costs by giving full recognition to support department interactions is known as (Appendix 5B)
a. The sequential method.
b. The proportional method.
c. The reciprocal method.
d. The direct method.
e. None of the above.
a. Materials requisition sheet.
b. Time ticket.
c. Requisition for overhead application.
d. Job-order cost sheet.
e. Sales invoice.
2. Wilson Company has a predetermined overhead rate of $5 per direct labor hour. The job-order cost sheet for Job 145 shows 1,000 direct labor hours costing $10,000 and materials requisitions totaling $7,500. Job 145 had 500 units completed and transferred to Finished Goods. What is the cost per unit for Job 145?
a. $35
b. $135
c. $30
d. $45
e. $22,500
3. When a job costing $2,000 is finished but not sold, the following journal entry is made: (Appendix 5A)
a. Cost of Goods Sold 2,000
Finished Goods 2,000
b. Finished Goods 2,000
Cost of Goods Sold 2,000
c. Finished Goods 2,000
Work in Process 2,000
d. Work in Process 2,000
Finished Goods 2,000
e. Cost of Goods Sold 2,000
Sales 2,000
4. Those departments responsible for creating products or services that are sold to customers are referred to as (Appendix 5B)
a. Profit making departments.
b. Support departments.
c. Cost centers.
d. Production departments.
e. None of the above.
5. Those departments that provide essential services to producing departments are referred to as (Appendix 5B)
a. Revenue generating departments.
b. Support departments.
c. Profit centers.
d. Production departments.
e. None of the above.
6. An example of a producing department is (Appendix 5B)
a. A materials storeroom.
b. The maintenance department.
c. Engineering design.
d. Assembly.
e. All of the above.
7. An example of a support department is (Appendix 5B)
a. Data processing.
b. Personnel.
c. A materials storeroom.
d. Payroll.
e. All of the above.
8. The method that assigns support department costs only to producing departments in proportion to each department’s usage of the service is known as (Appendix 5B)
a. The sequential method.
b. The proportional method.
c. The reciprocal method.
d. The direct method.
e. None of the above.
9. The method that assigns support department costs by giving partial recognition to support department interactions is known as (Appendix 5B)
a. The sequential method.
b. The proportional method.
c. The reciprocal method.
d. The direct method.
e. None of the above.
10. The method that assigns support department costs by giving full recognition to support department interactions is known as (Appendix 5B)
a. The sequential method.
b. The proportional method.
c. The reciprocal method.
d. The direct method.
e. None of the above.
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