88.Trenton Company is a manufacturing company with several processing departments. The company uses a process cost system. When goods are complete, the product cost transferred to finished goods inventory includes the sum of product costs from all the processing departments.
True False
89.For a company using a process cost system, as units are transferred from one department to the next, their costs are transferred along as well.
True False
90.Generally accepted accounting principles (GAAP) prohibit the use of a hybrid cost system.
True False
91.A hybrid cost system is one that combines features of both process and job-order inventory systems.
True False
92.In a job-order cost system a separate job cost sheet is maintained for each job to facilitate costing.
True False
93.A materials requisition is sent to the purchasing agent by the materials storeroom clerk to request that additional materials be purchased.
True False
94.A job's budgeted costs for materials, labor, and overhead are inserted on the job cost sheet when production is completed.
True False
95.Under job-order costing, the actual direct material, actual direct labor, and estimated overhead costs are recorded on the job cost sheet.
True False
96.The costs of shipping a job to the buyer are recorded on the job's job cost sheet.
True False
97.Pepperdine Company paid factory rent of $10,000. At the time this transaction occurred, it did not affect total assets or net income.
True False