True / False Questions 1. The use of predetermined overhead rates in a job-order cost system makes.. 1 answer below »

 
   

Need your ASSIGNMENT done? Use our paper writing service to score better and meet your deadlines.  

True
/ False Questions

1. The use of predetermined overhead rates in a
job-order cost system makes it possible to estimate the total cost of a given
job as soon as production is completed.
True False

2. A job cost sheet is used to accumulate costs
charged to a job.
True False

3. The following journal entry would be made to apply
overhead cost to jobs in a job-order costing system:

.0/msohtmlclip1/01/clip_image002.png”>
True False

4. Under a job-order cost system the Work in Process
account is debited with the cost of materials purchased.
True False

5. The process of assigning overhead cost to jobs is
known as overhead application.
True False

6. The cost of a completed job in a job-order costing
system typically consists of the actual direct materials cost of the job, the
actual direct labor cost of the job, and the actual manufacturing overhead cost
of the job.
True False

7. A debit balance in the Manufacturing Overhead
account at the end of the year means that manufacturing overhead is
overapplied.
True False

8. Period costs are expensed as incurred, rather than
going into the Work in Process account.
True False

9. Advertising costs should be charged to the
Manufacturing Overhead account.
True False

10. When a job has been completed, the goods are
transferred from the production department to the finished goods warehouse and
the journal entry would include a credit to Work in Process.
True False

11. Underapplied or overapplied manufacturing overhead
represents the difference between actual overhead costs and applied overhead
costs.
True False

12. Top management salaries should not go into the
Manufacturing Overhead account.
True False

13. If manufacturing overhead applied exceeds the
actual manufacturing overhead costs of the period, then manufacturing overhead
is overapplied.
True False