Ch 3 - Process Costing and Analysis

Question 1

conversion costs per equivalent unit

Answer 1

combined costs of direct labor and factory OH per equivalent unit

Question 2

cost of goods manufactured

Answer 2

total manufacturing costs (dir mats, dir labor, fact OH) for period plus beginning GIP less ending GIP;
aka: net cost of goods manufacture and cost of goods completed

Question 3

Equivalent Units of Production (EUP)

Answer 3

number of units that would be completed if all effort in period had been applied to units that were started and finished

Question 4

job order cost accounting system

Answer 4

cost accounting system to determine cost of producing each job or job lot

Question 5

materials consumption report

Answer 5

doc that summarizes mats dept uses during reporting period,

replaces materials requisitions

Question 6

process accounting system

Answer 6

system of assigning direct materials, direct labor, overhead to specific processes;
total costs associated w/each process then divided by number of units passing through that process to determine the cost per equivalent unit

Question 7

process cost summary

Answer 7

report of costs charged to dept, its equivalent units of production achieved, costs assigned to its output

Question 8

process operations

Answer 8

processing of products in continuous/sequential flow of steps;
aka: process manufacturing, process production