A Bailment Differs from a Gift Because

question 23

Multiple Choice

A bailment differs from a gift because:

• A) a gift requires consideration, but a bailment does not.
• B) a gift requires delivery, but a bailment does not.
• C) in a bailment, only possession of the property is transferred to the bailee, whereas with a gift, both possession and ownership must pass to the donee.
• D) a gift is always a contract, but a bailment is generally not a contract.

---

Definitions:

Overhead Applied

The allocation of estimated overhead costs to specific jobs or departments based on a predetermined rate or formula.

Assembly Department

A section of a manufacturing facility where components are put together to form final products.

Total Job Cost

The complete cost of a specific job or project, including materials, labor, and overhead costs, calculated for cost tracking and pricing.

Total Job Cost

The sum of all expenses directly associated with the production of a specific job, including materials, labor, and overhead costs.