Name: Chapter 19 315 for 5. Labor costs that do not enter directly into the manufacture of a product are classified as and are recorded as factory overhead. 6. Managerial accountants gather information related to product costs. Managers frequently use this information to establish control operations, and develop financial statements. 7. Each inventory account, including Raw Materials Inventory, Work in Process Inventory, and Finished Goods Inventory, is all additions and for all deductions. 8. Materials are released from the storeroom to the factory in response to materials received from the production department. 9. Under the job order cost system, a(n). sheet is used to keep track of the resources consumed during the production of a specific customer order. 10. A summary of the at the end of each month is the basis for recording the direct and indirect labor costs incurred in production. 11. The measure used to allocate factory overhead is frequently called a(n) 12. Green Company has a predetermined factory overhead rate of $3.75 per direct labor hour. If Green Company uses 1,500 hours as the activity base, the estimated total factory overhead cost is 13. Gold Company uses $4.00 per hour as a predetermined factory overhead rate for allocating direct labor costs as factory overhead. If Job A requires a total of 1672 hours of direct labor, the amount of factory overhead to be applied to Job A is 14. Factory overhead costs applied to production are periodically debited to the account and credited to the factory overhead account. 15. If the factory overhead account has a debit balance at the end of the period, the debit is described as _overhead. 16. Direct labor and factory overhead costs are debited to Work in Process based on data obtained from a summary of 17. Each account in the ledger contains cost data including the units manufactured, units sold, and the units on hand for each of the individual product types which the company manufactures. 18. Randolph Company completed 20,000 units at a cost of $175,000. The beginning finished goods inventory was 3,500 units, costing a total of $26,600. The cost of goods sold for 12,000 units, assuming a fifo cost flow