Ch. 4 Multiple Choice
A job order costing system is most likely used by wotf?
an accounting firm specializing in tax returns
Wotf product situations is better suited to job order costing than to process costing?
The costs are easily traced to a specific product
Which document lists the total direct materials used in a specific job?
materials requisition form
In a job order cost system, raw materials purchased are debited to which account?
raw materials inventory
Assigning indirect costs to specific jobs completed by wotf?
using the predetermined overhead rate
In a job order cost system, factory wage expense is debited to which account?
work in process inventory
Wotf is a prime cost?
direct labor
The activity base for service industries is most likely to be ____
direct labor hours
During production, to what are the costs in job order costing applied?
each individual product
Wotf is a conversion cost?
factory depreciation expenses
Which document lists the total direct labor used in a specific job?
job cost sheet
Which document shows the cost of direct materials, direct labor, and overhead applied for each specific job?
job cost sheet
In a job order cost system, indirect labor incurred is debited to which account?
manufacturing overhead
In a job order cost system, utility expense incurred is debited to which account?
manufacturing overhead
In a job order costing system, which account shows the overhead used by the company?
manufacturing overhead
Which document lists the inventory that will be removed from the raw materials inventory?
materials requisition form
In a job order cost system, overhead applied is debited to which account?
work in process inventory