Absorption costing: O Expenses marketing costs as cost of goods sold in the period incurred 33 O Treats direct manufacturing costs as a period cost O Treats fixed manufacturing overhead as an inventoriable cost O Is required for internal financial reporting None of the above statements are true about absorption costing TRUE or FALSE? Under absorption costing, unit product cost "absorbs" only fixed manufacturing overhead costs. O True False Under job order costing, the departmental predetermined overhead rate equals: Estimated total departmental overhead divided by the number of months in the period Actual total overhead incurred by the department for the period divided by the actual direct labor hours used by the department in the period O Actual total overhead incurred by the department minus the total overhead that was estimated for the department O Estimated total overhead incurred by the department multiplied by the estimated activity level for the period Total overhead estimated for the department divided by the estimated activity level for the department for the period Under job order costing, overhead variance is over-applied if: O actual overhead is greater than applied overhead O estimated overhead is greater than actual overhead O applied overhead is greater than total manufacturing costs O actual overhead is less than applied overhead O None of the above