A company may use a job order cost system for some of its products and a process cost system for other products.

a$.$ True

b$.$ False

In job order cost accounting system, perpetual inventory records are maintained in controlling accounts and subsidiary ledgers for materials, work in process, and finished goods.

a$.$ True

b$.$ False

If the actual overhead incurred is less than the applied factory overhead, it is called overapplied factory overhead.

a$.$ True

b$.$ False

After the goods are completed, their costs are transferred from Work in Process to Finished Goods.

a$.$ True

b$.$ False

In response to materials requisition, materials are transferred from the storeroom to the factory.

a$.$ True

b$.$ False

The summary of the time tickets at the end of each month is the basis for recording the direct and indirect labor costs incurred in production.

a$.$ True

b$.$ False

Materials inventory consists of the costs of direct and indirect materials that have not yet entered the manufacturing process.

a$.$ True

b$.$ False

Depreciation expense on factory equipment is part of factory overhead cost.

a$.$ True

b$.$ False

Job order cost systems can be used to compare unit costs of similar jobs to determine if costs are staying within expected ranges.

a$.$ True

b$.$ False