Process Costing MCQs
1. Which of the following System applies when standardized goods are produced under a series of inter-connected operations?
2. Factory overhead should be allocated on the basis of?
3. The cost of material that is not completely processed, would be found in which of the following inventory account on the Balance Sheet?
4. In a process costing system, the journal entry to record the transfer of goods from Department #2 to Finished Goods Inventory is a?
5. The statement prepared under process costing is called?
6. The first step in preparing the production cost report is to?
7. A Company had no beginning work in process. During the period, 5,000 units were completed, and there were 500 units of ending work in process. How many units were started in production?
8. Which cost accumulation procedure is best suited to a continuous mass production process of similar units?
9. Which of the following accounts is similar to the Inventory account of a merchandising company?
10. Finished Goods Inventory decreases by the?
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11. A process costing system is used by a company that?
12. Which of the following is a characteristic of process cost accounting system?
13. A cost incurred in one processing department that is transferred to the next processing department is called a?
14. If the beginning balance in the Raw Materials Inventory account for the month was Rs. 25,000, the ending balance of Rs. 22,000 and material used during the month was Rs. 130,000, what is the amount of materials purchased during the month?
15. Which of the following companies is most likely to use a process costing system?
16. If the beginning balance in Raw Materials Inventory is Rs. 5,000, the ending balance is Rs. 3,500, and Rs. 60,000 was purchased, what is the amount of materials transferred to Work in Process Inventory during the period?
17. The Blending Department began the period with 20,000 units. During the period the department received another 80,000 units from the prior department and at the end of the period 30,000 units remained which were 40% complete. How much are equivalent units in The Blending Department’s work in process inventory at the end of the period?
18. A process costing system?
19. In a process costing system, when items are sold, the cost of the items is moved from?
20. When partially completed units are converted to a comparable number of completed units, they are referred to as?
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