Match each of the following items A through G with the best
numbered description of its purpose.
B. Process cost summary
1. Notifies the materials manager to send materials to a production
department.
2. Holds costs of indirect materials, indirect labor, and similar costs until
assigned to production.
3. Holds costs of direct materials, direct labor, and applied overhead until
products are transferred from production to finished goods (or another
department).
4. Standardizes partially completed units into equivalent completed units.
5. Holds costs of finished products until sold to customers.
6. Describes the activity and output of a production department for a period.
7. Holds costs of materials until they are used in production or as factory
overhead.