Which of the Following Statements Is Correct

question 118

Multiple Choice

Which of the following statements is correct?

• A) The overhead charged to inventory at the balance sheet date can be understated if the salaries of administrative personnel are inadvertently or intentionally charged to indirect manufacturing overhead.
• B) When jobs are billed on a cost-plus basis, revenue and total expenses are both affected by charging labor to incorrect jobs.
• C) Payroll is a significant portion of inventory for retail and service industry companies.
• D) The valuation of inventory is affected if the direct labor cost of individual employees is improperly charged to the wrong job or process.

---

Definitions:

Jigsaw Classroom

An educational approach designed to minimize racial conflict among school children, promote better learning, improve student motivation, and increase enjoyment of the learning experience.

Prejudice

A preconceived opinion or judgement about an individual or group without sufficient knowledge, often involving negative or stereotypical beliefs.

Situational Attribution

Assigning the cause of one's behavior or performance to external environmental factors, rather than to internal characteristics.

Social Categorization

The process by which individuals classify others into groups based on shared characteristics.