1. Which of the following costs are allocated to jobs in a job order costing system? A. Direct and indirect product costs B. Direct product costs C. Indirect product costs D. Estimated product costs 2. What is unique about the flow of costs in a job order cost system? A. The cost of each job is tracked separately on a job cost sheet B. It involves accumulating actual material, labor, and manufacturing overhead costs as they are incurred in order to determine the job costs C. Job costs cannot be measured until all overhead costs are determined D. There are no costs remaining in the Work in Process account at year end 4-12 Student Study Guide for Managerial Accounting, 2nd Edition 3. Which of the following is one reason that manufacturing overhead is applied to jobs by manufacturing companies? A. Total actual overhead costs can never be accurately determined for production B. Indirect costs are easy to trace to products and jobs C. It allows managers more timely determination of product costs during the manufacturing process D. It provides a more accurate cost of the job or products being processed 4. Gottberg Company bases its predetermined overhead rates on machine hours. At the beginning of the year, the company estimated its manufacturing overhead for the year would be $56,000 and there would be a total of 40,000 machine hours. Actual manufacturing overhead for year amounted to $58,000 and the actual machine hours totaled 44,800. How much is the predetermined overhead rate? A. $1.40 B. $1.25 C. $1.29 D. $1.45