The Process of Subtotaling Both Sides of an Account and Recording

question 77

Multiple Choice

The process of subtotaling both sides of an account and recording the amount on that side is known as

• A) footing.
• B) taking a trial balance.
• C) posting.
• D) balancing the accounts.
• E) journalizing.

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Definitions:

Overhead Applied

The portion of manufacturing overhead costs allocated to individual products or job orders based on a predetermined overhead rate.

Products

Goods or commodities that are manufactured or refined for sale.

Variable Overhead Efficiency Variance

The difference between actual hours taken to produce something and the standard hours expected, multiplied by the variable overhead rate.

Budget Variance

The difference between the budgeted or planned amount of expense or revenue, and the actual amount incurred or received.