Match Each Item to a Bank Statement Adjustment, a Company

question 134

Multiple Choice

Match each item to a bank statement adjustment, a company books adjustment, or either.
-Note collected by the bank

• A)Bank statement adjustment
• B)Company books adjustment
• C)Either

---

Definitions:

Direct Labor-Hours

The total number of hours worked by employees who are directly involved in the production process, typically used as a base for applying manufacturing overhead costs.

Overhead Cost

Indirect costs of a business that are not directly tied to a specific product or service, such as rent, utilities, and administrative expenses.

Activity-Based Costing

A costing method that assigns costs to products or services based on the activities they require, aiming for more precise cost allocation.

Machine-Hours

Represents the amount of time machines are operational during production, critical for planning and cost allocation purposes.