Question 10 1 pts Which of the following statements is TRUE? o When raw materials are purchased, they are recorded as an expense. o If a company applies overhead to production on the basis of a predetermined rate, in the Manufacturing Overhead T-account a credit balance at the end of the period means that the estimated overhead cost was less than the actual overhead cost. o Under a job-order costing system, the amount transferred from Work-in-Process to Finished Goods is the sum of the costs charged to all jobs completed and sold during the period. When manufacturing overhead is applied to production, it is added to the Work in Process account. Question 11 1 pts Pharmally Biologic Inc has provided data concerning the company's Manufacturing Overhead account for the month of November. Prior to the closing of the overapplied or underapplied balance to Cost of Goods Sold, the total of the debits to the Manufacturing Overhead account was P55,000 and the total of the credits to the account was P56,000. Which of the following statements is TRUE? O Manufacturing overhead for the month was overapplied by P1,000. O Manufacturing overhead transferred from Finished Goods to Cost of Goods Sold during the month was P55,000. The actual manufacturing overhead incurred during the month was P56,000. o Manufacturing overhead applied to Work in Process for the month was P55,000. Question 12 1 pts Which of the following statements is FALSE? O Predetermined overhead rates are calculated at the end of the accounting period once the actual amount of factory overhead is known. O A cost-allocation base links an indirect cost to a cost object. The actual costs of all individual overhead categories are recorded in the Manufacturing Overhead account. The cost driver of an indirect cost is often used as the cost-allocation base. Question 13 1 pts When closing the OVERAPPLIED manufacturing overhead to Cost of Goods Sold, which of the following statements would be TRUE? O Work in Process will decrease. Gross Margin will increase. o Cost of Goods Sold will increase. o Net Income will decrease