Response to the following questions:
1. Which of these statements is correct?
(a) The collection of job cost sheets for unfinished jobs makes up a subsidiary ledger controlled by the Goods in Process Inventory account,
(b) Job cost sheets are financial statements provided to investors, or
(c) A separate job cost sheet is maintained in the general ledger for each job in process.
2. What three costs are normally accumulated on job cost sheets?
3. Why must a company estimate the amount of factory overhead assigned to individual jobs or job lots?