8. The cost of janitorial services in a shoe factory would be an indirect cost of the Custodial Services department but would be a direct cost of the Shoe Production Department for cost allocation purposes.

Group of answer choices

True

False

9. A labor requisition is the source document that records the amount of time an employee works on a job and his/her pay rate.

Group of answer choices

True

False

10. The number of units completed and transferred out of work-in-process inventory during the current period is the definition of equivalent units.

Group of answer choices

True

False

11. Assuming a business has two manufacturing processes, the cost of finished units in Process #1 is transferred to Process #2 by debiting the Work-in-Process Inventory #1 account and crediting the Work-in-Process Inventory #2 account.

Group of answer choices

True

False

12. In a continuous flow manufacturing process, it is difficult to trace costs to individual products.

Group of answer choices

True

False

13. When a company uses a process costing system, product costs are traced to individual products.

Group of answer choices

True

False

14. The internal service centers of an organization generate only costs and no revenues.

Group of answer choices

True

False