Question

A form prepared periodically for each processing department summarizing (1) the units for which the department is accountable and the units to be assigned costs and (2) the costs charged to the department and the allocation of these costs is termed a A. factory overhead production report B. cost of production report C. manufacturing cost report D. process cost report

Answer 1

Answer:

B. cost of production report

Explanation:

The cost of production report summarizes all cost activities and its allocation in a department within a specified period of time. It contains the cost for each unit, amount of unit flow, difficulties faced during production.

The factory overhead production report compares actual fixed and variable cost to standard fixed and variable costs. Fixed cost are rent, taxes while variable cost are indirect labor, utilities.

manufacturing cost report contains all costs involved during the manufacturing of a goods such as cost of raw materials and direct labor.

process cost report summarizes the quantity of goods produced in each department as well as the cost incurred by each department.

Answer 2

Answer:

B) cost of production report

Explanation:

Cost of production report: This is a form prepared periodically that summarizes the total cost of manufacturing a product. The cost of production report includes the costs charged to processing department and the allocation of these costs, units for which processing department is accountable and the units to be assigned costs.

It is the record of the cost of production of an item produced in a company.

The cost of production report consist of 4 major sections;

1) physical flow account

2) Equivalent production

3) Cost to account

4) Cost accounted

Each sections has various subsections recorded underneath.