Exam1 - Accounting 285 Exam I Spring 2006 1 During 2006...

Info iconThis preview shows pages 1–4. Sign up to view the full content.

View Full Document Right Arrow Icon
Accounting 285 – Exam I – Spring 2006
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
1. During 2006, Greg Company applies overhead using a normal costing system at a rate of $12 per direct labor hour. Estimated direct labor hours for the year were 150,000, estimated overhead for the year was $1,800,000. Actual direct labor hours for 2006 were 140,000 and actual overhead was $1,700,000. What is the amount of under or over applied overhead for the year? a. $100,000 underapplied b. $20,000 underapplied c. $0 d. $120,000 underapplied 2. Miller Company bought $150,000 of direct material during August, incurred $90,000 in direct labor cost, and had $130,000 in manufacturing overhead. Inventories for August were as follows: Beginning Ending Raw material $14,000 $18,000 Work in Process $19,000 $17,000 Finished Goods $18,000 $15,000 What is the cost of goods sold for August? a. $370,000 b. $372,000 c. $368,000 d. $371,000 3. Which of the following is NOT a product cost in a factory making tennis balls? a. The commission paid to sell the tennis balls. b. The cost of the gym provided for production employees. c. The cost of the material used in the tennis balls. d. The depreciation on the machine that puts the balls into the can they are sold in. 4. Almeda Company applies overhead on the basis of direct labor hours using a predetermined rate. Before 2006, it was estimated that overhead would be $2,000,000 and 100,000 direct labor hours would be worked. Actual results for the year were $2,200,000 in overhead incurred and 106,000 direct labor hours worked. What overhead application rate would be used during 2006? a. $20.75 b. $20.00 c. $18.76 d. $22.00
Background image of page 2
Use the following information for the next three questions A company produces three products: Alpo, Balpo, and Cappo with the following information available for each. Alpo
Background image of page 3

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Image of page 4
This is the end of the preview. Sign up to access the rest of the document.

This note was uploaded on 09/10/2008 for the course ACCT 285 taught by Professor Carver during the Spring '08 term at Iowa State.

Page1 / 9

Exam1 - Accounting 285 Exam I Spring 2006 1 During 2006...

This preview shows document pages 1 - 4. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online