Computers Has Made the Periodic Inventory System More Popular and Easier

question 228

True/False

Computers has made the periodic inventory system more popular and easier to apply.

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Definitions:

Direct Labor-hours

The sum of working hours of employees directly engaged in producing goods.

Manufacturing Overhead

All indirect costs associated with the production process, such as utilities, maintenance, and management salaries, not directly tied to direct materials or direct labor.

Predetermined Overhead Rate

A rate used in cost accounting to allocate overhead costs based on an estimated activity level.

Direct Labor-hours

The hours that workers contribute directly towards the manufacture of goods over a specified period.