Which Costing System Does Not Include Over- or Underapplied Overhead

question 42

Multiple Choice

Which costing system does not include over- or underapplied overhead?

• A) Actual costing system
• B) Normal costing system
• C) Process costing system
• D) Activity-based costing system

---

Definitions:

Adjustments

Modifications made in accounting records to reflect more accurate values or to record transactions not yet entered.

End-of-period Spreadsheet

A document used in accounting that summarizes all accounts and their balances at the end of an accounting period, helping in the preparation of financial statements.

Journal

A formal accounting record in which transactions are logged before they are posted to ledger accounts, detailing the date, accounts impacted, and amounts involved in each transaction.

Accumulated Depreciation

The total amount of a tangible asset's cost that has been allocated as depreciation expense over its useful life, reducing its book value on the balance sheet.