Quiz 2

Question 1

Units that can be automatically reworked to bring them up to standard

Answer 1

Defective

Question 2

Units that cannot be economically reworked to bring them up to standard

Answer 2

Spoilage

Question 3

Normal spoilage is defined as unacceptable production that

Answer 3

B. occurs in on-going process operations

Question 4

When the amount of overapplied is significant, the entry close overapplied factory overhead will most likely require

Answer 4

D. credits to the cost of goods solds, finished goods inventory and work in process inventory

Question 5

Two basic types of cost accounting systems are

Answer 5

B. Job order and Process cost systems

Question 6

Supplies needed for use in the factory are issued on the basis of

Answer 6

B. material requisitions

Question 7

The net cost of normal spoilage in a job order costing system in which spoilage is common to all jobs be

Answer 7

B. charged to manufacturing overhead during the period of the spoilage

Question 8

In a traditional job order cost system, the issuances of supplies to a production department increases

Answer 8

C. factory overhead control