_____1. If the costs for direct materials, direct labor, and factory overhead were $60,000, $35,000, and $25,000, respectively, for 20,000 equivalent units of production, the Conversion Cost per equivalent unit was $6.

____ 2. Equivalent units of production are the number of units that could have been manufactured from start to finish during an accounting period.

____ 3. If the underapplied factory overhead amount is immaterial, it is transferred to Cost of Goods Sold at the end of the fiscal year.

____ 4. If the cost of materials is not a significant portion of the total product cost, the materials may be classified as part of factory overhead cost.

____ 5. The cost of materials entering directly into the manufacturing process is classified as factory overhead cost.

____ 6. Process manufacturers typically use large machines to process a continuous flow of raw materials into a finished state.

____ 7. The direct materials costs and direct labor costs incurred by a production department are referred to as conversion costs.

____ 8. The Cost of Production Report reports on the costs charged to production and the costs allocated to finished goods and work in process.

____ 9. One of the differences in accounting for a process costing system compared to a job order system is that the amounts used to transfer goods from one department to the next comes from the cost of production report instead of job cost cards.

____ 10. The current year's advertising costs are normally considered period costs.

____ 11. Managerial accounting reports are prepared according to generally accepted accounting principles (GAAP).

____ 12. If 8,000 units which were 30% completed are in process at June 1; 28,000 units are completed and transferred out during June; and 4,000 units were 75% completed at June 30; the number of equivalent units for Conversion for production for June was 28,600.

____ 13. As product costs are incurred in the manufacturing process, they are accounted for as assets and reported on the balance sheet as inventory.

____ 14. Perpetual inventory controlling accounts and subsidiary ledgers are maintained for materials, work in process, and finished goods in cost accounting systems.

Please Help. These are just True/False questions.