Par Value Is the

question 117

Multiple Choice

Par value is the

• A)Face value of a bond;the amount to be repaid when the bond is due.
• B)Increase in the market value of an asset.
• C)Rate of return on a share of stock.
• D)Rate of interest to be paid on a bond.

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Definitions:

Customer Specifications

Detailed requirements provided by a customer regarding how a product or service should perform or be designed.

Job Order Cost System

A type of cost accounting system that provides for a separate record of the cost of each quantity of product (job) that is manufactured.

Conversion Costs

The combined costs of direct labor and manufacturing overhead, representing the expenses necessary to convert raw materials into finished goods.

Direct Materials

Raw materials that can be directly associated with the production of goods or services and are considered a variable cost.