Factory Rent and Utilities Are Debited to The

question 24

Multiple Choice

Factory rent and utilities are debited to the:

• A)concerned Work-in-Process Inventory account.
• B)Manufacturing Overhead account.
• C)Finished Goods Inventory account.
• D)Cost of Goods Sold account.

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Definitions:

Total Utility

The total satisfaction or benefit that a consumer receives from consuming a certain quantity of a good or service.

Utility Schedule

A table showing the level of satisfaction or utility that a consumer derives from different quantities of a good or service.

Marginal Utility

The increased happiness or advantage derived from the consumption of one extra piece of a good or service.