Which of the Following Is True of Controlling

question 10

Multiple Choice

Which of the following is true of controlling?

• A) It is all about setting goals and making plans.
• B) It is primarily involved in creating structures.
• C) It sees to it that the right things happen, in the right way, and at the right time.
• D) It sets the directions and allocates resources.
• E) It brings people and material resources together in working combinations.

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Definitions:

Direct Materials

Basic substances directly linked to the creation of a particular product.

Job No. 100

This is generally a specific reference to a unique job or project number within a job-order costing system, and not a widely known key term.

Work in Process

Inventory that includes goods that are in the process of being manufactured but are not yet completed.

Predetermined Overhead Rate

A predetermined overhead rate is calculated before a period begins and is used to apply manufacturing overhead costs to products based on a common activity base, such as machine hours or labor hours.