Choi Corporation?s accumulated depreciation?furniture increased by $7,000, while $2,600 of patents were amortized between balance sheet dates. There were no purchases or sales of depreciable or intangible assets during the year. In addition, the income statement showed a gain of $15,000 from the sale of land. Reconcile a net income of $140,000 to net cash flow from operating activities.
Indicate whether each of the following statements is true or false.
1. Many hospitals use job order costing for small, routine medical procedures.
2. A manufacturer of computer flash drives would use a job order cost system.
3. A process cost system uses multiple work in process accounts.
4. A process cost system keeps track of costs on job cost sheets.
