Which of the Following Statements Regarding Business Licenses and Permits

question 59

Multiple Choice

Which of the following statements regarding business licenses and permits is incorrect?

• A) Most business licenses and permits can wait until after a business is launched to be obtained.
• B) A business license can typically be obtained at the city clerk's office in the community where the business will be located.
• C) If a business will be run out of a home, a home occupation business license is often required.
• D) Some business licenses are hard to get.
• E) The business licenses and permits that are needed vary by city, county, and state.

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Definitions:

Overapplied

A situation in which the allocated manufacturing overhead cost is more than the actual overhead cost incurred.

Overapplied Manufacturing Overhead

Occurs when the amount of overhead applied to products or jobs during a period is greater than the actual overhead costs incurred.

Finished Goods Inventory

The value of a company’s inventory of products that are completed and ready for sale.

Underapplied

In accounting, underapplied refers to when the allocated overhead costs are less than the actual overhead costs incurred.