PART I. MULTIPLE CHOICE/TRUE AND FALSE QUESSTIONS (30 POINTS 1. T, F. Factory Overhead is also known as Factory burden. 2. T, F. Activity-based costing can only be used in manufacturing environment 3. T, F. When overhead balance contains a credit balance, overhead has been under 4. T, F. When companies can isol ", F. When companies can isolate various factors that drive overhead costs, then they can use multiple methods to assign overhead costs to various activities of deparuncan . There are only two ways that over-applied or under-applied overhead can be dispovedu the end of the accounting period. T, F. Companies seldom use more than two basic systems of costine 6. 1. 8. F. There is no difference between the term unit cost used in process costing and border costing. T, F. The primary difference between Job Order Costing and Process Costing is the use of Equivalent Units of Production. T, F. The production Report contains at least Four Sections. 9. 10. T, F. In calculating the unit cost in a department subsequent to the first department, the first department's costs are hardly taken into consideration. 11. T, F. When material, direct labor and overhead costs are added uniformly in a process costing system, it is okay to use only one equivalent production figure. 12. T, F. When material, direct labor and overhead costs are not added to production uniformly, becomes necessary to use separate equivalent units of production in calculating unit costs in departments. 13. T, F. In determining the cost of the ending work in process, the cost accountant must consider the stage of completion or percentage of completion and the point at which materials are added in order to make the proper allocation of costs. 14. T, F. Cost of normal losses in production increase the cost of good output because the loss is nu ignored in computing equivalent units of production. 15. T, F. If materials added to the process in the department increases the number of units bein manufactured, the unit cost from the prior department need not be adjusted