Accountants Use the Term "Process Cost Accounting System" Because These

question 71

True/False

Accountants use the term "process cost accounting system" because these systems use a number of trained individuals and computers to process the collected cost information.

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Definitions:

Factory Overhead

Any expenses related to production that do not include direct materials or direct labor costs.

Debit Balance

Occurs when the total of debits in an account exceeds the total of credits, usually indicating assets or expenses.

Direct Labor Costs

Costs related to the workforce directly engaged in creating goods or services.

Direct Materials

Raw materials that can be directly traced to the manufacturing process of a product and are a significant portion of the production cost.