machine time is (round your answer to the nearest whole dollar). 12. A new method of allocating factory overhead costs using different rates corresponding to different activities is known as _costing. 13. If the factory overhead account has a credit balance at the end of the period, the credit is described as overhead. 14. During one month, Smith Company had a beginning debit balance of $13,200 in its factory overhead account. By the end of the month, the account had increased 75%, ending with a debit balance of $23,100. The company's accountant should investigate the overhead to determine whether it needs revision. 15. One approach for disposing of the balance of factory overhead at the end of the year is to transfer the entire balance to the account 16. Direct materials costs are debited to Work in Process based on data obtained from a summary of 17. The finished goods account is a controlling account with a subsidiary ledger called a finished goods ledger or 18. Expenses that are not incurred to support the manufacturing process, and which are incurred during the current period of time, are called costs. 19. expenses are incurred in the administration of the business and are not related to the manufacturing or selling functions. 20. A job order cost system is useful for both manufacturing and businesses. FILL IN THE BLANK-PART B Instructions: Answer the following questions or complete the statements by writing the appropriate words or amounts in the answer blanks. 1. systems accumulate manufacturing costs for the goods that are produced. 2. A system provides a separate record for the cost of each quantity of product that passes through the factory. 3. Sandpaper used by a guitar company would be classified as cost. 4. Woods Company, a manufacturer of air compressors, regularly buys flow regulators from an outside vendor. If they are an integral component for the final product, flow regulators should be classified as _costs