1. Which of the following costs would most likely be variable with respect to the number of T-shirts sold at a Fashion shop? A. The cost of lighting the store. B. The wages of the store manager. C. The rent of the store. D. The sales commission of the salespeople. 2. Which of the following costs would most likely be a discretionary fixed cost? A. The rent of the store. B. The depreciation of the equipment. C. Real estate tax. D. Advertising 3. In a job-order costing system, a debit balance of the manufacturing overhead account represents: A. balanced overhead. B. underapplied overhead. C. overapplied overhead. D. None of the above. 4. In a job-order costing system, indirect materials that have been previously purchased and that are used in production are recorded as a debit to: A. Work in Process inventory. B. Manufacturing Overhead. C. Finished Goods inventory. D. Raw Materials inventory. 5. A company has estimated overhead cost of $50,000 to be allocated based on direct labor costs. It has an estimate of 1,000 direct labor hours at labor rate of $4 per hour. The predetermined overhead rate should be A. $50. B. $12.5. C. $10. D. $1.25