Indicate Whether Each of the Following Statements About Process Costing

question 26

Short Answer

Indicate whether each of the following statements about process costing systems is true or false.
The use of a predetermined overhead rate is not required with process costing because the method calculates an average unit cost.______
When manufacturing overhead is applied to units of product,total assets do not change.______
For Morris Company,the cost per equivalent unit was $3.58.If the ending work in process was 8,000 units 85% complete,the total cost assigned to these units would be $28,640.______
A company with three processing departments generally would calculate a cost per equivalent unit for each department.______
With a process costing system,a company will not have to deal with underapplied or overapplied overhead.______

Understand the computation and implications of bond premium and discount amortization.

Comprehend the classification and reporting of current and long-term liabilities on the balance sheet.

Grasp the journal entry recording of bond issuance and retirement and its impact on financial statements.

Analyze the effects of mortgage notes payable on financial statements.