The Last Step of the Accounting Cycle Is to Prepare

question 88

True/False

The last step of the accounting cycle is to prepare a post-closing trial balance.

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Definitions:

Standard Costing

An accounting method that applies estimated costs to product costs for budgeting purposes and cost control.

Flexible Budget

A budget that adapts or changes based on the fluctuations in a business's activity or volume level.

Variable Overhead

Costs that fluctuate with production volume, such as utilities or materials used in production.

Direct Labour Hours

are the hours worked by employees directly involved in the production of goods and services.