Wheels Company Uses a Backflush-Costing System to Account for Bicycles

question 130

Multiple Choice

Wheels Company uses a backflush-costing system to account for bicycles.Bicycles are scheduled for production only after orders are received and products are shipped to customers immediately upon completion.No finished goods inventory is maintained and product costs are applied directly to cost of goods sold.The standard cost for materials is $150 per bicycle.The standard cost for conversion costs is $75 per bicycle. During the current month,Wheels Company purchased $6,000 of direct materials and incurred $3,000 in conversion costs to produce 40 bicycles.The journal entry to eliminate the conversion cost variance includes a debit to ________.

• A)Finished Goods Inventory for $600
• B)Conversion Costs for $600
• C)Cost of Goods Sold for $600
• D)No entry is needed

Understand the process and importance of bank reconciliation.

Comprehend the differences between insured and non-insured financial products.

Recognize the purposes and benefits of different types of loans and rates.

Understand the role and benefits of different endorsements in banking.

---

Definitions:

Personality Development

The formation and growth of the enduring patterns of thought, feeling, and behavior that distinguish an individual.

Cognitive Structures

The mental frameworks and concepts that individuals use to organize and interpret information.

Gender Schemas

Cognitive frameworks that organize information related to gender, influencing how individuals perceive and interact with their social world.

Psychodynamic

A psychological theory or approach that emphasizes unconscious psychological processes (e.g., wishes, fears) and contends that childhood experiences are crucial in shaping adult personality.