1. selling and administrative costs arent assigned to jobs because theyre treated as _______ costs.\n2. job…

1. selling and administrative costs arent assigned to jobs because theyre treated as _______ costs.\n2. job - order costing systems use _______ forms and labor time tickets to trace direct materials and direct labor costs to jobs.\n3. because manufacturing overhead costs are _______ costs, they must be allocated to jobs.\n4. ideally, the allocation base used to allocate overhead costs should be a/an _______ - it should cause the consumption of overhead costs.\n5. the most frequently used allocation bases in job - order costing systems are _______ - hours and _______ - hours.\n6. normal costing systems allocate overhead costs to jobs using _______ that are estimated before the period begins.\n7. throughout the period, overhead is applied to jobs by _______ the predetermined overhead rate by the actual amount of the allocation base recorded for each job.\n8. a predetermined overhead rate is computed by dividing the estimated total manufacturing overhead cost for the period by the estimated total amount of the _______ for the period.\n9. the total manufacturing costs assigned by a job divided by the number of units within that job equals the _______.\n10. activity - based _______ is a method that assigns all manufacturing overhead costs to products based on the activities performed to make those products.
Answer
Brief Explanations:
- Selling and administrative costs are period costs and not assigned to jobs.
- Job - order costing uses materials requisition forms for direct materials and labor time tickets for direct labor.
- Manufacturing overhead costs are indirect costs and need allocation.
- The ideal allocation base is a cost driver as it causes overhead consumption.
- Labor - hours and machine - hours are common allocation bases in job - order costing.
- Normal costing uses predetermined overhead rates estimated before the period.
- Overhead is applied by multiplying the predetermined rate by the actual allocation base amount.
- A predetermined overhead rate is computed by dividing estimated total overhead by estimated total allocation base amount.
- Total manufacturing costs per job divided by units in the job gives the unit product cost.
- Activity - based costing assigns all manufacturing overhead based on activities.
Answer:
- period
- materials requisition
- indirect
- cost driver
- labor; machine
- overhead rates
- multiplying
- allocation base
- unit product cost
- costing