Question: 1. Assume that a company produces a single product by processing it first through a single production department. Direct labor costs flow through what accounts in this company's process cost system?
2. After all labor costs for a period are allocated, what balance should remain in the Factory Payroll account?
3. Explain why equivalent units of production for both direct labor and overhead can be the same as, and why they can be different from, equivalent units for direct materials.