Accounting II part 2

The amount of time spent by an employee in the factory is usually recorded on

time cards

The details concerning the costs incurred on each job order are accumulated in a subsidiary ledger known as the:

Cost ledger

Which types of inventories does a manufacturing business report on the balance sheet?

Direct materials inventory, work in process inventory, and finished goods inventory

Which of the following would most likely be a product cost?

Drill bits for a drill press used in the plant assembly area

Which of the following is not a characteristic of a job order costing system?

It accumulates cost for each department within the factory

Which of the following are the two main types of cost accounting systems for manufacturing operations?

Job order cost and process cost systems

Which of the following systems provides for a separate record of the cost of each particular quantity of product that passes through the factory?

Job order cost system

A widely used activity base for developing factory overhead rates in highly automated settings is:

Machine hours

The document authorizing the issuance of materials from the storeroom is the

Materials requisition

Costs that are used in generating revenues during the current period are often referred to as

Period Cost

Costs that are treated as assets until the product is sold are called:

Product Costs

Which of the following is the correct flow of manufacturing costs?

Raw materials, work in process, finished goods, cost of goods sold

Which of the following would most likely be a period cost?

Salary of telephone receptionist in the sales office

The finished goods account is the controlling account for the:

Stock ledger

Which of the following would record the labor costs to an individual job

Time tickets