63. Laner Company has the following data for the production and sale of 2,000 units.
What is the conversion cost per unit?
64. Laner Company has the following data for the production and sale of 2,000 units.
What is the prime cost per unit?
65. The following information was collected from the accounting records of the CJG 65 for
3,000 units:
What is CJG’s total cost per unit?
66. The difference between variable costs and fixed costs is (CMA adapted)
67. Which one of the following costs is classified as a period cost? (CIA adapted)
68. The following cost data for the month of May were taken from the records of the Paducah
Manufacturing Company: (CIA adapted)
Based upon this information, the manufacturing cost incurred during the month was:
69. Sarasota Company, (a merchandising Co.) has the following data pertaining to the year
ended December 31, 2006: (CPA adapted)
What is the cost of goods sold for the year?
70. The Southeastern Company’s manufacturing costs for the third quarter of 2008 were as
follows: (CPA adapted)
What amount should be considered product costs for external reporting purposes?
71. Makwa Industries has developed two new products but has only enough plant capacity to
introduce one product during the current year. The following data will assist management in
deciding which product should be selected.
Makwa’s fixed overhead includes rent and utilities, equipment depreciation, and supervisory
salaries. Selling and administrative expenses are not allocated to individual products.
For Makwa’s Product L, the costs for direct material, machining labor, and assembly labor
represent
72. Makwa Industries has developed two new products but has only enough plant capacity to
introduce one product during the current year. The following data will assist management in
deciding which product should be selected.
Makwa’s fixed overhead includes rent and utilities, equipment depreciation, and supervisory
salaries. Selling and administrative expenses are not allocated to individual products.
The difference between the $100 estimated selling price for Product W and its total cost of $88
represents
73. Makwa Industries has developed two new products but has only enough plant capacity to
introduce one product during the current year. The following data will assist management in
deciding which product should be selected.
Makwa’s fixed overhead includes rent and utilities, equipment depreciation, and supervisory
salaries. Selling and administrative expenses are not allocated to individual products.
The total overhead cost of $27 for Makwa’s Product W is a
74. Makwa Industries has developed two new products but has only enough plant capacity to
introduce one product during the current year. The following data will assist management in
deciding which product should be selected.
Makwa’s fixed overhead includes rent and utilities, equipment depreciation, and supervisory
salaries. Selling and administrative expenses are not allocated to individual products.
Research and development costs for Makwa’s two new products are
75. Makwa Industries has developed two new products but has only enough plant capacity to
introduce one product during the current year. The following data will assist management in
deciding which product should be selected.
Makwa’s fixed overhead includes rent and utilities, equipment depreciation, and supervisory
salaries. Selling and administrative expenses are not allocated to individual products.
The advertising costs for the product selected by Makwa will be
76. An opportunity cost is
77. The process of assigning indirect costs to products, services, people, business units, etc.,
is
78. A ___________________ is any end to which a cost is assigned.
79. A cost allocation rule is the method or process used to assign the costs in the _________ to
the ______________.
80. Under full absorption costing, which of the following are included in product costs?
81. Waupun Company has the following unit costs:
What cost per unit would be used for product costing under full absorption costing?
82. Waupun Company has the following unit costs:
What cost per unit would be used for product costing under variable costing?
83. Cheboygan Company has the following unit costs:
Cheboygan produced and sold 10,000 units. If the product sells for $100, what is the gross
margin?
84. Cheboygan Company has the following unit costs:
Cheboygan produced and sold 10,000 units. If the product sells for $100, what is the contribution
margin?