1. 2. 3. Hybrid costing is appropriate to use in a continuous project system. a. true b. false When calculating the predetermined overhead rate the total estimated overhead for the coming period is the numerator in the calculation. a. true b. false The perpetual inventory method requires an ongoing record of transfers-in and transfers-out of inventory accounts. a. true b. false When manufacturing overhead has been underapplied and the adjustment is assigned to COGS, the COGS balance will a. decrease (be credited) b. increase (be debited) Underapplied overhead occurs when actual overhead the applied overhead in a period. a. is more than b. is less than c. the two amounts do not determine underapplied overhead Underapplied or overapplied overhead will not occur when "actual costing is used. 4. 5. 6. a. true b. false