Which of the Following Statements Is(are) False

question 29

Multiple Choice

Which of the following statements is(are) false?
(A) All variances should be prorated to inventories and cost of goods sold at the end of the accounting period.
(B) If the number of units produced exceeds the number of units sold, the full-absorption operating profit will be lower than variable costing operating profit.

• A) Only A is false.
• B) Only B is false.
• C) Both of these are false.
• D) Neither of these is false.

Identify the types of businesses or products that typically use job order costing.

Grasp the concept of customized products and the implication on production systems.

Calculate the total job cost using direct materials, direct labor, and applied overhead.

Understand the composition and purpose of a job cost sheet.

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Definitions:

Los Angeles

A major city in California, known for its entertainment industry, particularly Hollywood, and diverse cultural influences.

Military-Industrial Production

The network of governmental and commercial involvement in the research, development, and production of military equipment and technology.

Japanese Invasion

Refers to various military incursions and expansions conducted by Japan, particularly during the first half of the 20th century, impacting several countries across Asia.

Lend-Lease Act

1941 law that permitted the United States to lend or lease arms and other supplies to the Allies, signifying increasing likelihood of American involvement in World War II.