Which of the following is a product cost?

a. salary of the company receptionist

b. advertising for a particular product

c. salary of a sales manager

d. drill bits for a drill press used in the plant assembly area

In a job order cost system, when goods that have been ordered are received, the quantity received and the condition of the goods are entered on a

a. purchase order

b. sales invoice

c. receiving report

d. purchase requisition

Thomlin Company forecasts that total factory overhead for the current year will be $12,506,000 with 169,000 total machine hours. Year to date, the actual overhead is $6,290,900, and the actual machine hours are 81,700 hours. If Thomlin Company uses a predetermined factory overhead rate based on machine hours for applying overhead, as of this point in time (year to date), the overhead is

a. $245,100 underapplied

b. $261,900 underapplied

c. $261,900 overapplied

d. $245,100 overapplied