The equivalent units of production is the sum of the units transferred out plus the equivalent units in ending work in process inventory. *

1 point

False

True

The basic approach in job-order costing is to accumulate costs in a particular operation or department for an entire period (month, quarter, year) and then to divide this total by the number of units produced during the period. *

2 points

False

True

Costs are accumulated by department in a process costing system. *

1 point

False

True

Under job-order costing, costs are accumulated by department and are assigned equally to all units passing through the department during the period. *

1 point

True

False

If a company closes any under- or overapplied overhead to the Cost of Goods Sold account, then Cost of Goods Sold will be credited if manufacturing overhead is overapplied for the period. *

2 points

False

True

If the actual manufacturing overhead costs for a period exceed the manufacturing overhead costs applied, then overhead would be considered to be overapplied. *

2 points

True

False