The ________ Process Limits the Amount of Money That Could

question 23

Multiple Choice

The ________ process limits the amount of money that could be spent on a bill, but the ________ process determines how much money is actually assigned to be spent.

• A) appropriation; authorization
• B) authorization; appropriation
• C) budget; authorization
• D) budget; appropriation
• E) appropriation; budget

---

Definitions:

Overapplied Manufacturing Overhead

A condition where the allocated manufacturing overhead costs exceed the actual overhead expenses incurred.

Cost of Goods Sold

Cost of goods sold represents the direct costs attributable to the production of the goods sold by a company, including material and labor costs.

Predetermined Overhead Rate

A rate used to allocate overhead costs to products or jobs, computed before the costs are incurred, based on estimated rather than actual costs.

Direct Labor-Hour

Direct labor-hour is a measure of the time workers spend on specific tasks directly involved in the production of goods.