Which of the Following Statements About Job-Order Costing Is Not

question 5

Multiple Choice

Which of the following statements about job-order costing is not true?

• A)Materials are traced to jobs using materials requisition forms.
• B)Indirect labor is traced to jobs using time tickets.
• C)Manufacturing overhead cannot be traced directly to jobs, so it is assigned using an overhead allocation rate.
• D)Manufacturing overhead costs are applied to jobs by crediting the Manufacturing Overhead account and debiting it to Work in Process Inventory.

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