37) Manufacturing overhead is a pool of indirect production costs that must somehow be attached to each unit manufactured. 38) A predetermined overhead rate is calculated by dividing actual overhead cost by the actual amount of a cost driver used in the process 39) As soon as products are completed, their product costs are transferred from Raw Materials Inventory to Finished-Goods Inventory 40) In a public accounting firm, for example, costs are assigned to an audit engagement in much the same way they are assigned to a single batch of tables by a furniture manufacturer