Practice Exam 1B

Practice Exam 1B - Accounting 102 Summer 2009 Practice Exam...

Info iconThis preview shows pages 1–8. Sign up to view the full content.

View Full Document Right Arrow Icon
- 1 - Accounting 102 Summer 2009 – Practice Exam 1B Number of Points Score Part I 24 Part II 32 Part III 30 Part IV 14 Total 100
Background image of page 1

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

View Full DocumentRight Arrow Icon
- 2 - PART I (24 Points) B-Cool Corp uses an actual costing system. Following are data for 2000: Beginning Inventory Ending Inventory Direct Materials - $ 60 Direct Materials - $ 114 Work-in-process - $ 96 Finished Goods - $ 90 Finished Goods - $ 75 Sales Revenue = $690 Materials Purchased = $ 420 Conversion Costs = $ 495 Direct Manufacturing Cost = $ 636 Gross Margin = $ 105 (1) Using the remainder of this page and the next page, provide posted T-accounts for Inventories. Then fill in answers to questions asked in question (2) on the next page.
Background image of page 2
- 3 - (2) What are? a) Direct Materials Costs Incurred _______ b) Factory Overhead Costs _______ c) Total Manufacturing Costs incurred _______ d) Cost of Goods Manufactured _______ e) Cost of Goods Sold _______ f) Closing WIP Inventory _______
Background image of page 3

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

View Full DocumentRight Arrow Icon
- 4 - PART II (32 points) RStar Manufacturing Co. makes customized vans. RStar employs a normal job-order system (with overhead applied using direct labor hours) and writes off under- or over-applied overhead to cost of goods sold each month. RStar started the month with no inventories at all. During the month, work was started on three vans, Vans 1, 2, and 3. The following information is given: (a) Budgeted manufacturing overhead for January 2000: $30,000 (b) Budgeted direct-labor hours to be worked January 2000: 5,000 hours (c) Materials purchased during January 2000: $400,000 (d) Materials placed into production in January 2000: Van 1: $100,000 Van 2: $50,000 Van 3: $75,000 $225,000 (e) Direct labor hours worked in January 2000: Van 1: 1,800 hours Van 2: 2,400 hours Van 3: 1,800 hours 6,000 hours (f) Actual manufacturing overhead incurred: $37,500 (g) Actual direct labor rate per hour: $10 (h) Van 1 was completed and transferred to finished goods but not sold at the end of the month. (i) Van 2 was completed and sold during January 2000. (j) Van 3 was not finished at the end of the month. Required : 1. What is the value of the direct materials inventory on January 31, 2000?
Background image of page 4
- 5 - 2. Compute the budgeted overhead rate for January, and the actual overhead rate for January. 3. What is the value of the WIP inventory on January 31, 2000?
Background image of page 5

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

View Full DocumentRight Arrow Icon
- 6 - 4. What is cost of goods sold for January 2000?
Background image of page 6
- 7 - PART III (30 Points) Dubya Corp, which started business on January 1, 2000, manufactures a single product. Following are data for 2000: Variable Absorption Costing Costing ----------------------------------------------- Sales Revenue $ 2,250,000 $ 2,250,000 Operating Profit 438,000 461,000 Standard Direct Manufacturing Costs Incurred ? 1,280,000 Number of Units Sold 180,000
Background image of page 7

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

View Full DocumentRight Arrow Icon
Image of page 8
This is the end of the preview. Sign up to access the rest of the document.

Page1 / 21

Practice Exam 1B - Accounting 102 Summer 2009 Practice Exam...

This preview shows document pages 1 - 8. Sign up to view the full document.

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