Question. Signify the account that should be DEBITED to record each transaction below. Group of answer choices A. The consumption of direct materials in the manufacturing process. [ Choose ] Manufacturing overhead Selling, general and administrative expenses Work in process Cost of goods sold Finished goods Raw materials B. The consumption of indirect materials in the manufacturing process. [ Choose ] Manufacturing overhead Selling, general and administrative expenses Work in process Cost of goods sold Finished goods Raw materials C. The cost of direct labor incurred in the manufacturing process. [ Choose ] Manufacturing overhead Selling, general and administrative expenses Work in process Cost of goods sold Finished goods Raw materials D. The cost of indirect labor incurred in the manufacturing process. [ Choose ] Manufacturing overhead Selling, general and administrative expenses Work in process Cost of goods sold Finished goods Raw materials E. The allocation of manufacturing overhead to jobs using a predetermined rate. [ Choose ] Manufacturing overhead Selling, general and administrative expenses Work in process Cost of goods sold Finished goods Raw materials
Process Costing
Process costing is a sort of operation costing which is employed to determine the value of a product at each process or stage of producing process, applicable where goods produced from a series of continuous operations or procedure.
Job Costing
Job costing is adhesive costs of each and every job involved in the production processes. It is an accounting measure. It is a method which determines the cost of specific jobs, which are performed according to the consumer’s specifications. Job costing is possible only in businesses where the production is done as per the customer’s requirement. For example, some customers order to manufacture furniture as per their needs.
ABC Costing
Cost Accounting is a form of managerial accounting that helps the company in assessing the total variable cost so as to compute the cost of production. Cost accounting is generally used by the management so as to ensure better decision-making. In comparison to financial accounting, cost accounting has to follow a set standard ad can be used flexibly by the management as per their needs. The types of Cost Accounting include – Lean Accounting, Standard Costing, Marginal Costing and Activity Based Costing.
Question.
Signify the account that should be DEBITED to record each transaction below.
Group of answer choices
A. The consumption of direct materials in the manufacturing process.
[ Choose ] Manufacturing
B. The consumption of indirect materials in the manufacturing process.
[ Choose ] Manufacturing overhead Selling, general and administrative expenses Work in process Cost of goods sold Finished goods Raw materials
C. The cost of direct labor incurred in the manufacturing process.
[ Choose ] Manufacturing overhead Selling, general and administrative expenses Work in process Cost of goods sold Finished goods Raw materials
D. The cost of indirect labor incurred in the manufacturing process.
[ Choose ] Manufacturing overhead Selling, general and administrative expenses Work in process Cost of goods sold Finished goods Raw materials
E. The allocation of manufacturing overhead to jobs using a predetermined rate.
[ Choose ] Manufacturing overhead Selling, general and administrative expenses Work in process Cost of goods sold Finished goods Raw materials
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