1. For which of the following businesses would a process cost system be appropriate?
Auto repair service
Paint manufacturer
Specialty printer
Custom furniture manufacturer
2. The two categories of cost comprising conversion costs are:
Direct labor and indirect labor
Direct labor and factory overhead
Factory overhead and direct materials
Direct labor and direct materials
3. The two categories of cost comprising Prime costs are:
Direct labor and indirect labor
Direct labor and factory overhead
Factory overhead and direct materials
Direct labor and direct materials