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Production and service work costs flow through an organizations' accounting system and work underway is tracked in Work In Process accounts until it is completed.
Production and service work costs flow through an organizations' accounting system and work underway is tracked in Work In Process accounts until it is completed. The various costs related to products and services are either inventoriable or period costs and are charged to the appropriate type of account. For each statement, enter the letter for the chosen response in the answer. Applied Overhead Finished Good Inventory Period Costs Work In Process Inventory Each response can be used once or multiple times. Each match is worth one-half (0.5) mark. A. Applied Overhead Completed goods manufactured DR entry Contains equivalent units less than physical units B. Finished Goods C. Period Costs Conversion costs D. Work In Process Credit for indirect costs allocation Labour costs for production employees Not used for services tracking and costing Output activity times pre-determined rate Shipping and handling costs Transfer of product from mixing to filling department Warehousing and handling of finished product
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