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Some costs that possibly could be traced directly to

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5. Some costs that possibly could be traced directly to cost objects are nonetheless classified as indirect costs.Why?a.because such practice results in a more accurate accumulated cost for the objectB.because such costs cannot be traced to objects in a cost-effective mannerc.because it is less expensive to account for indirect costsd.All of the abovee.None of the above
6. The work in process account for Hoosier Company contained the following entries:Work in Process AccountNo beginning balance Debit of $48,000 for direct raw materialsDebit of $51,000 for direct laborDebit of $28,000 for manufacturing overhead appliedEnding balance, $37,000 associated with Job 1The company uses a job order cost system. Work was only performed on two jobs during the period. Whatamount would be reported as a debit to finished goods for cost of goods manufactured?
7. Which of the following shouldnotbe recorded as an expense?
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/Managerial-Accounting-The-Cornerstone-of-Business-Decision-Making-7th-Edition-9781337115773-338/
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Chapter 6 / Exercise 6-50
Managerial Accounting: The Cornerstone of Business Decision-Making
Hansen/Mowen
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8.Bruins Company reported the following income for 2003:What is the company's times interest earned ratio?
9.Huskies Tools produces a variety of scissors and other cutting instruments at its City-State manufacturingplant. The plant is highly automated and uses an activity-based costing system to allocate overhead costs toits various product lines. The company expects to produce 20,000 total units during the current period. Thecosts and cost drivers associated with four activity cost pools are given below:Production of 1,200 units of a pipe-cutting tool required 500 labor hours, 10 setups, and consumed 25% ofthe product sustaining activities and resulted in an overhead allocation of $18,000. What amount of batch-level overhead costs must have been expected during the period?a.$18,000B.$32,500c.$180,000d.None of the above
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10. In a process cost system, the output of Department One becomes an input to Department Two. What is thisinput generally referred to as?
11. Golden Bears Company allocates overhead on the basis of direct labor hours. It allocates overhead costs of$10,800 to two different jobs as follows:Job 1: (8 hours) = $5,400 Job 2: (8 hours) = $5,400The production process for Job 1 is automated. Now Job 1 requires only two hours of direct labor but fourhours of mechanical processing. As a result, total overhead increases to $14,600. Select the correctstatement from the following.
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Term
Fall
Professor
JohnRepsis
We have textbook solutions for you!
The document you are viewing contains questions related to this textbook.
Managerial Accounting: The Cornerstone of Business Decision-Making
The document you are viewing contains questions related to this textbook.
Chapter 6 / Exercise 6-50
Managerial Accounting: The Cornerstone of Business Decision-Making
Hansen/Mowen
Expert Verified

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