Match the Following Terms with Their Correct Definition

question 54

Multiple Choice

Match the following terms with their correct definition.
-a bank reconciling item that must be subtracted from the unadjusted book balance when preparing a bank reconciliation

• A)bank reconciliation
• B)deposit in transit
• C)nonsufficient funds cheque
• D)outstanding cheque
• E)service charges

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Definitions:

Direct Labor-hours

The total time workers spend on a particular manufacturing process or project, used as a basis for assigning labor costs to products or services.

Direct Labor Cost

Expenses directly tied to the work of employees on the production line or manufacturing process.

Budgeted Production

Refers to the number of units that a company plans to produce during a specific period, based on forecasted sales and inventory requirements.

Labor Rate Variance

A measure used in accounting to calculate the difference between the actual cost of labor and the expected (or standard) cost.