ISO 14000 Refers To

question 8

Multiple Choice

ISO 14000 refers to:

• A) standards used for assuring product quality through design and manufacturing process.
• B) guidelines in environmental management and labeling.
• C) European Union import regulations.
• D) a trade agreement between the U.S. and EU designed to reduce barriers to trade.

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Definitions:

Manufacturing Overhead

The indirect costs involved in making a product, excluding direct materials and direct labor expenses.

Predetermined Overhead Rate

A rate used to apply manufacturing overhead to products or job orders, computed in advance for each period.

Traditional Costing

An accounting method that allocates overhead costs to products based on a single, volume-based cost driver, such as direct labor hours.

Direct Labor-Hours

Represents the total hours worked directly on the production of goods.