A Sales Invoice Is a Source Document That

question 55

Multiple Choice

A sales invoice is a source document that

• A) provides support for goods purchased for resale.
• B) is required before a sale can be recorded.
• C) provides evidence of a sale.
• D) serves only as a customer receipt.

---

Definitions:

Time Tickets

documents used to record the amount of time an employee spends on various tasks, useful for job costing and payroll.

Factory Overhead

All costs related to production that are not direct materials or direct labor costs.

Machine Hours

A measure of the total time that machines are operating during a specific period.

Applied Overhead

The segment of manufacturing overhead expenses assigned to each production unit according to a pre-established rate.