Chapter 3

Question 1

direct costs

Answer 1

traceable to the cost object

Question 2

Manufacturing costs that are not traceable

Answer 2

MOH costs and indirect manufacturing costs

Question 3

job order costing

Answer 3

Used when many different products with individual features are produced each period

Question 4

job cost sheet

Answer 4

Records the materials, labor, and manufacturing overhead costs charged to a job

Question 5

indirect costs

Answer 5

not specifically traceable
factory supervision, depreciation, property taxes, and utilities

Question 6

assigning overhead to jobs

Answer 6

Need it to properly price products, control costs, and to make business decisions

Question 7

allocation base

Answer 7

Measure such as DLH, DL, MH that is used to assign overhead costs to products and services

Question 8

cost driver

Answer 8

measure that causes the costs to be incurred

Question 9

POHR

Answer 9

manufacturing overhead is assigned to products
computed at the beginning of the year

Question 10

MOH applied

Answer 10

happens throughout the year

Question 11

Plantwide overhead rate

Answer 11

POHR of an entire factory

Question 12

Departmental POHR

Answer 12

POHR of differences across departments