Question: The costing system, which classify cost into cost categories in a way when an expense is incurred in the process is called ____________?

• 1. conversion expense costing system
• 2. inventory costing system
• 3. process costing system
• 4. job costing system

Question: Total cost related to work in process inventory is divided by total units of work done is used to calculate _____________?

• 1. Gross weighted margin
• 2. weighted average revenue
• 3. weighted average cost
• 4. weighted average conversion cost

Question: In process and job costing system, the normal spoilage cost is considered as ___________?

• 1. conversion costs
• 2. sunk costs
• 3. inventoriable costs
• 4. non inventoriable costs

Question: Which one of the following is an example of spoilage?

• 1. short lengths from wood work
• 2. defective aluminum cans recycled by manufacturer
• 3. detection of defective pieces before shipment
• 4. all of above

Question: An amount of spoilage that is not natural in a specific production process is categorized as ____________?

• 1. normal scrap
• 2. normal spoilage
• 3. abnormal spoilage
• 4. weighted spoilage

Question: The stage in production process, where the manufactured goods are checked; whether the units are acceptable or not is classified as __________?

• 1. rework point
• 2. inspection point
• 3. spoilage point
• 4. scrap point

Question: An example of rework is ____________?

• 1. short lengths from wood work
• 2. defective aluminum cans recycled by manufacturer
• 3. detection of defective pieces before shipment
• 4. none of above

Question: The aspects of accounting for scrap includes __________?

• 1. physical tracking
• 2. non-inventoriable costing
• 3. inventory costing
• 4. both a and c

Question: If the beginning work in process inventory units are 2600, units started are 9000, ending work in process units are 2300 and the completed good units are 8000 then total spoilage will be ____________?

• 1. 1200 units
• 2. 990 units
• 3. 1100 units
• 4. 1000 units

Question: The costing, which explains how and when scrap affects the operating income of company is classified as ___________?

• 1. inventory costing
• 2. conversion costing
• 3. normal scrap costing
• 4. abnormal scrap costing