1. When products are completed, which of the following accounts is increased? a. Raw Materials Inventory. b. Work in Process Inventory. c. Finished Goods Inventory. d. Cost of Goods Sold.
2. When products are completed, which of the following accounts is decreased? a. Raw Materials Inventory. b. Work in Process Inventory. c. Finished Goods Inventory. d. Cost of Goods Sold.
3. Finished Goods represents products that are a. In the process of being completed. b. Ready to be sold. c. Sold. d. None of the above.
4. Finished Goods Inventory increases by the a. Cost of goods manufactured. b. Overhead applied. c. Cost of selling the product. d. Cost of goods sold.
5. Finished Goods Inventory decreases by the a. Cost of goods manufactured. b. Overhead applied. c. Cost of selling the product. d. Cost of goods sold.
6. Which of the following accounts is similar to the Inventory account of a merchandising company? a. Raw Materials Inventory b. Work in Process Inventory c. Finished Goods Inventory d. Manufacturing Overhead
7. Which of the following is the correct journal entry to record the purchase of indirect materials on account?
a.
Raw Materials Inventory Accounts Payable
b.
Manufacturing Overhead Accounts Payable
c.
Work in Process Inventory Accounts Payable
d.
Merchandise Inventory Accounts Payable
8. Which of the following is the correct journal entry to record direct materials put into production?
a.
Raw Materials Inventory Work in Process Inventory
b.
Work in Process Inventory Finished Goods Inventory
c.
Work in Process Inventory Raw Materials Inventory
d.
Finished Goods Inventory Work in Process Inventory
9. Which of the following is the correct journal entry to record manufacturing overhead incurred?
a.
Manufacturing Overhead Control Work in Process Inventory
b.
Work in Process Inventory Manufacturing Overhead Control
c.
Manufacturing Overhead Control
Cash or other Payables
d.
Finished Goods Inventory
Manufacturing Overhead Control
10. Which of the following is the correct journal entry to record the application of manufacturing overhead?
a.
Manufacturing Overhead Control Work in Process Inventory
b.
Work in Process Inventory
Manufacturing Overhead Control
c.
Manufacturing Overhead Control Cash or other Payables
d.
Finished Goods Inventory Manufacturing Overhead Control