A General Journal Is

question 206

Multiple Choice

A general journal is:

• A) A ledger in which amounts are posted from a balance column account.
• B) A complete record of all transactions in chronological order from which transaction amounts are posted to the ledger accounts.
• C) Not required if T-accounts are used.
• D) A book of final entry because financial statements are prepared from it.
• E) Not necessary in electronic accounting systems.

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Definitions:

Direct Labor

The cost of employee wages that is directly associated with the manufacturing of products or the provision of services.

Unfavorable

A term used to describe a situation or outcome that is not advantageous, detrimental, or negatively impacts objectives.

Direct Labor Time Variance

The difference between the estimated time to produce a good or service and the actual time taken, multiplied by the hourly labor rate.

Direct Labor

This references the cost of labor that can be directly attributed to the manufacture or production of specific goods or services.