21 the cost of goods sold will often differ from the cost of goods manufactured beca 4303708

 

 

21.The cost of goods sold will often differ from the cost of goods manufactured because of changes in the level of finished goods. 
 
 

 

 

 

22.Immediately before it is closed, the balance of the Manufacturing Summary account represents the cost of goods manufactured. 
 
 

 

 

 

23.The balance of the Manufacturing Summary account is closed into the Income Summary account. 
 
 

 

 

 

24.If there are no errors, the amount needed to balance the Cost of Goods Manufactured columns of a worksheet will also be the amount required to balance the Balance Sheet columns. 
 
 

 

 

 

25.Information about depreciation, insurance, and property taxes for the factory building of a manufacturing business would be shown in the Operating Expenses section of the income statement. 
 
 

 

 

 

26.The amounts of the raw materials used, direct labor, and manufacturing overhead for a fiscal period are reported on the statement of cost of goods manufactured. 
 
 

 

 

 

27.In a manufacturing company, it is not necessary to take a physical inventory of the finished goods. 
 
 

 

 

 

28.The manufacturing summary account is a temporary account used to close out manufacturing costs before transferring the balance to Finished Goods. 
 
 

 

 

 

29.The balance of the manufacturing summary account is closed to Income Summary. 
 
 

 

 

 

30.An adjusting entry to accrue salaries and wage expenses incurred, but not yet recorded is required prior to closing out a reporting period. 
 
 

 

 

 

31.Six adjusting entries are made for inventory accounts in a manufacturing operation. 
 
 

 

 

 

32.Reversing entries help save time and prevent errors in the period being closed.