a) What are the three types of product costs in a manufacturing environment?

b) Certain costs, like selling and administrative costs, are not directly related to production but are still necessary for a business to function. These costs are not capitalized as product costs, but instead expensed when they are incurred. What is the general term for these types of costs?

C) DULL Corp. had estimated overhead costs of $72.000 for the month of November. Allocated overhead costs for the month were $82,000 and actual overhead costs for the month were $78,000. Prepare the journal entry to adjust DULL'S Manufacturing Overhead account.

d) Lee manufactures several heterogeneous products that all consume manufacturing overhead in different ways. What method of cost management would Lee most likely use to allocate its overhead?

e) Operating income calculated using absorption costing can be (1) greater. (2) less than or (3) equal to operating income calculated using variable costing. Briefly explain how each of these three scenarios can occur.

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a The three types of product costs in a manufacturing environment are Direct Materials These are the costs of the raw materials and components that ar... View the full answer