Question 11

A cost of production report has two sections: the quantity schedule and cost schedule.

True

False

Question 12

The cost of beginning work in process can be handled in one of two ways: the FIFO method or the average cost method.

True

False

Question 13

The average cost method combines the costs of carried-over and new production.

True

False

Question 14

Assuming all products pass sequentially through all production departments, the process with the lowest capacity constrains total output.

True

False

Question 15

The general journal entry to record the cost of jobs completed would consist of:

		A debit to Finished Goods and a credit to Costs of Goods Sold
		A debit to Accounts Receivable and a credit to Sales
		A debit to Cost of Goods Sold and a credit to Finished Goods
		A debit to Finished Goods and a credit to Work in Process