6. Direct Materials + Direct Labor + Manufacturing Overhead Applied equals:

1. Prime Costs
2. Period costs
3. Conversion costs
4. Cost of goods manufactured
5. Cost of goods sold
6. Current manufacturing costs

7. Rent expense on a manufacturing facility is $15,000 per month. Its a good example of which type of cost?

1. fixed
2. Varibale
3. Mixed
4. None of these

8. When calculating Variable Overhead Variances, Standard Hours, and Actual hours are the same as used for Direct Labor Variances.

1. true
2. false

9. A cost is relevant if it occurs in the future and there is a difference between cost alternatives.

1. true
2. false

10. Which of the following accounts would most likely be credited when Applying manufacturing overhead.

1. salaries and wages payable
2. manufacturing overhead
3. prepaid rent
4. accumulated depreciation
5. work in process inventory