Which of the Following Is the Usual Final Step in the Accounting

question 52

Multiple Choice

Which of the following is the usual final step in the accounting cycle?

• A) Journalizing transactions.
• B) Preparing an adjusted trial balance.
• C) Preparing a post-closing trial balance.
• D) Preparing the financial statements.
• E) Preparing a work sheet.

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Definitions:

Manufacturing Overhead

All indirect costs associated with manufacturing, such as maintenance, utilities, and management salaries, not directly tied to the production of goods.

Prime Cost

The combined direct costs of raw materials and labor that are directly attributable to the production of a product.

Direct Labor Cost

The wages paid to workers directly involved in production or service delivery, constituting a major component of a product's cost.

Variable Production

Production costs that vary in total directly and proportionately with changes in the production level.