Match each phrase that follows with the term (a-h) it describes.
-Summary of the activity in a processing department for a specific period
A)Direct labor and factory overhead
B)Direct labor and direct materials
C)Transferred-in costs
D)Equivalent units
E)Process costing
F)Job order costing
G)First-in, first-out method
H)Cost of production report

Question

Quizplus · Accepted Answer

A cost of production report summarizes the activity in a processing department for a specific period, including the costs of direct materials, direct labor, and factory overhead, as well as transferred-in costs and equivalent units. It is a key output of process costing. Job order costing is typically used in situations where each unit produced is unique and specific costs can be traced to each job. The first-in, first-out method is one way of assigning costs in process costing, but it does not describe a specific report or output.

Match Each Phrase That Follows with the Term (A-H) It