recorded a cost of goods sold of $ 65,000 . The journal entries to record these transactions would include a
Student Answer : debit to finished goods of $ 65,000 . credit to cost of goods sold of $ 65,000 . credit to work in process of $ 60,000 . credit to finished goods of $ 60,000 . * Times are displayed in ( GMT-07:00 ) Mountain Time ( US & Canada ) Grading Summary These are the automatically computed results of your exam . Grades for essay questions , and comments from your instructor , are in the “ Details ” section below . Date Taken : 5 / 15 / 2016 Time Spent : 1 h , 27 min , 22 secs Points Received : 71 / 90 ( 78.9 %)
Grade Details – All Questions Page : 1 2 Question 1 . Question : ( TCO B ) Some companies use process costing and some use job-order costing . Which method a company uses depends on its industry . Several companies in different industries are listed below .
5 . Frozen cranberry juice processor ii . Custom boat builder iii . Concrete block manufacturer iv . Winery that produces a number of specialty wines v . Aluminum refiner that makes aluminum ingots from bauxite ore vi . External auditing firm For each company , indicate whether the company is most likely to use job-order costing or process costing . Question 2 . Question : ( TCO B ) Job 728 was recently completed . The following data have been recorded on its job cost sheet . Direct materials $ 89,925 Direct labor hours 1,220 labor hours Direct labor wage rate $ 15 per labor hour Machine hours 1,550 machine hours