Log out Go to App
Go to App

Learning Materials

Features

Discover

Chapter 17: Q 15E_d (page 941)

Following is a list of cost system characteristics and sample companies. Match each to either job order costing or process costing.

d. Companies that produce large numbers of identical products.

Short Answer

Expert verified

Answer:

Process costing system is used by the company that manufactures the products in large quantity.

Step by step solution

01

Step-by-Step Solution:

Step 1: Process costing system

Process costing system is a system used by the companies for determining the cost of the manufactured products which are produced in large number of quantity.

02

Classification of costing system according to the characteristics

The company that produces large number of identical products use the process costing while determining the cost of manufacturing.

Unlock Step-by-Step Solutions & Ace Your Exams!

  • Full Textbook Solutions

    Get detailed explanations and key concepts

  • Unlimited Al creation

    Al flashcards, explanations, exams and more...

  • Ads-free access

    To over 500 millions flashcards

  • Money-back guarantee

    We refund you if you fail your exam.

Start your free trial

Over 30 million students worldwide already upgrade their learning with Vaia!

One App. One Place for Learning.

All the tools & learning materials you need for study success - in one app.

Get started for free

Most popular questions from this chapter

Question: Journalize the following transactions for Marge’s Sofas. Explanations are not required.

g. Completed production on jobs with costs of $40,000

Question: Explain the journal entry for the allocation of overhead. What accounts are affected? Are they increased or decreased?

Comparing actual to allocated overhead

Columbus Enterprises reports the following information at December 31, 2018:

Manufacturing overhead

3,500

50,600

19,000

34,500

Requirements

2. What is the allocated manufacturing overhead?

June production generated the following activity in Bentley Chassis Company’s Work-in-Process Inventory account:

June 1 balance

\(36,000

Direct materials used

32,000

Direct labor assigned to jobs

40,000

Manufacturing overhead allocated to jobs

28,000

Additionally, Bentley Chassis has completed Jobs 142 and 143, with total costs of\)37,000 and $48,000, respectively.

Requirements

2. Open a T-account for Work-in-Process Inventory. Post the journal entry made in Requirement 1. Compute the ending balance in the Work-in-Process Inventoryaccount on June 30.

Distinguishing between job order costing and process costing

Would the following companies most likely use job order costing or process costing?

a. A manufacturer of refrigerators
See all solutions

Recommended explanations on Business Studies Textbooks

Corporate Finance

Read Explanation

Strategic Direction

Read Explanation

Managers

Read Explanation

Business Case Studies

Read Explanation

Strategic Analysis

Read Explanation

Change Management

Read Explanation
View all explanations

What do you think about this solution?

We value your feedback to improve our textbook solutions.

Study anywhere. Anytime. Across all devices.

Sign-up for free