Which of the Following Statements Is False

question 99

Multiple Choice

Which of the following statements is false?

• A)While the use of standard costing is acceptable for job-order costing systems,actual cost records should still be maintained.
• B)It is normally more time-consuming for a company to use standard costs in a job-order costing system.
• C)Standards can be used in a job-order costing system,if the company usually produces items that are similar in nature.
• D)Standard costs may be used for material,labor,or both material and labor in a job-order costing environment.

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Definitions:

Reverse Order

A sequence of objects or tasks arranged in the opposite manner from which they were initially presented or executed.

Cost Flow Assumption

An accounting method that determines the value of remaining inventory and the cost of goods sold, such as FIFO or LIFO.

Weighted Average

A calculation that takes into account the varying degrees of importance of the numbers in a data set, assigning weights to some numbers more than others.