1. If the cost of goods sold is greater than the cost of goods manufactured, then:
a. work in process inventory has decreased during the period.
b. finished goods inventory has increased during the period.
c. total manufacturing costs must be greater than cost of goods manufactured.
A: d. finished goods inventory has decreased during the period.

2. Wages paid to the factory supply shop foreman are considered an example of: Direct Labor Period Cost
A) Yes Yes
B) Yes No
A: C) No Yes
D) No No

3. The following costs were incurred in April: Direct materials $18,000 Direct labor $21,000 Manufacturing overhead $33,000 Selling expenses $14,000 Administrative expenses $19,000 Conversion costs during the month totaled: A) $39,000. A: B) $54,000. C) $105,000. D) $51,000.

4. . The following costs were incurred in April: Direct materials $29,000 Direct labor $24,000 Manufacturing overhead $14,000 Selling expenses $18,000 Administrative expenses $18,000 Direct costs during the month totaled: A: A) $53,000. B) $67,000. C) $38,000. D) $103,000.

5. In a job-order cost system, the application of manufacturing overhead usually would be recorded as a debit to: A) Cost of Goods Sold. A: B) Work in Process inventory. C) Manufacturing Overhead. D) Finished Goods inventory.

6 The Work in Process inventory account of a manufacturing firm shows a balance of $3,000 at the end of an accounting period. The job cost sheets of two uncompleted jobs show charges of $500 and $300 for materials, and charges of $400 and $600 for direct labor. From this information, it appears that the company is using a predetermined overhead rate, as a percentage of direct labor costs, of: A) 83%. A: B) 120%. C) 40%. D) 300%.

7. Equivalent units for a process costing system