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21. Materials purchased on account during the month amounted to $195,000. Materials requisitioned and placed in production totaled $168,000. From the following, select the entry to record the transaction on the day the materials were requisitioned by the production department.

a.	Materials 168,000 Work in Process 168,000
b.	Work in Process 195,000 Materials 195,000
c.	Work in Process 168,000 Materials 168,000
d.	Work in Process 168,000 Cash 168,000

____ 22. Which of the following costs incurred by a paper manufacturer would be included in the group of costs referred to as conversion costs?

a.	Advertising costs
b.	Raw lumber (direct materials)
c.	Machine operator's wages (direct labor)
d.	Sales salaries

____ 23. Which of the following is an example of direct labor cost for an airplane manufacturer?

a.	Cost of oil lubricants for factory machinery
b.	Cost of wages of assembly worker
c.	Salary of plant supervisor
d.	Cost of jet engines

____ 24. Lombardi Company manufactures a single product by a continuous process, involving three production departments. The records indicate that direct materials, direct labor, and applied factory overhead for Department 2 were $100,000, $125,000, and $150,000, respectively. The records further indicate that direct materials, direct labor, and applied factory overhead for Department 3 were $50,000, $60,000, and $70,000, respectively. In addition, work in process at the beginning of the period for Department 3 totaled $75,000, and work in process at the end of the period totaled $60,000. The journal entry to record the flow of costs into Department 3 during the period for direct materials is:

a.	Work in Process--Department 3 100,000 Materials 100,000
b.	Work in Process--Department 3 125,000 Materials 125,000
c.	Work in Process--Department 3 50,000 Materials 50,000
d.	Work in Process--Department 3 70,000 Materials 70,000

____ 25. Lombardi Company manufactures a single product by a continuous process, involving three production departments. The records indicate that direct materials, direct labor, and applied factory overhead for Department 1 were $100,000, $125,000, and $150,000, respectively. The records further indicate that direct materials, direct labor, and applied factory overhead for Department 2 were $50,000, $60,000, and $70,000, respectively. In addition, work in process at the beginning of the period for Department 1 totaled $75,000, and work in process at the end of the period totaled $60,000. The journal entry to record the flow of costs into Department 1 during the period for applied overhead is:

a.	Factory Overhead--Department 1 150,000 Work in Process--Department 1 150,000
b.	Work in Process--Department 1 125,000 Factory Overhead--Department 1 125,000
c.	Work in Process--Department 1 70,000 Factory Overhead--Department 1 70,000
d.	Work in Process--Department 1 150,000 Factory Overhead--Department 1 150,000

____ 26. The entry to record direct labor costs into production in a job order cost accounting system is:

a.	debit Factory Overhead, credit Work in Process
b.	debit Finished Goods, credit Wages Payable
c.	debit Work in Process, credit Wages Payable
d.	debit Factory Overhead, credit Wages Payable

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