WGU D101 COMPREHENSIVE STUDY GUIDE
2026 FULL QUESTIONS AND SOLUTIONS
GRADED A+
◍ Miscellaneous materials like glue and nails would be classified as....
Answer: Manufacturing overhead.
◍ When the product or service provided can be considered as separate and
distinct from other products or services provided, and the manufacturing
processes used are different for different products. Doesn't track period
costs..
Answer: Job order costing.
◍ When a company must must track the costs of the product being produced or
the service being provided to be able to compare the cost of the product or
service with the price the market is offering..
Answer: Price-taker.
◍ In cases where the product is customized and unique and the maker of the
product is able to charge a price based on costs and a markup..
Answer: Price-maker.
◍ Examples of such companies include manufacturers of paint, soft drinks,
and newspapers, and most food processing plants. Other examples include
large-scale tax preparation or loan processing firms, such as H&R Block,
preparing typical income tax returns for individuals..
Answer: Process costing.
◍ Direct materials, direct labor, and manufacturing overhead..
Answer: Components tracked in job order costing.
◍ The cost of raw materials that are used directly in the manufacture of
, products and are kept in the raw materials warehouse until used..
Answer: Direct materials.
◍ The wages and other payroll-related expenses of factory employees who
work directly on products..
Answer: Direct labor.
◍ Includes all manufacturing costs that are not classified as direct materials or
direct labor. This includes miscellaneous materials used in production, such
as glue or nails; wages for the factory supervisor, controller, and custodians
who work in the factory but not directly on products; and other
manufacturing costs, such as utilities, depreciation of manufacturing
facilities, insurance, and property taxes..
Answer: Manufacturing overhead.
◍ Costs related to the production facility, including property taxes on the
plant..
Answer: Product costs.
◍ Costs not related to the production facility..
Answer: Period costs.
◍ Direct labor hours or machine hour time..
Answer: Ways to allocate manufacturing overhead to a product.
◍ An estimate of the overhead that will be incurred for each unit (in this case,
allocated on the basis of machine hours and direct labor hours)..
Answer: Manufacturing overhead rate.
◍ A temporary holding tank for overhead costs that you do not immediately
know how to assign to production..
Answer: Manufacturing overhead account.
◍ How are actual manufacturing overhead costs incurred throughout the year
journalized?.
Answer: Debits into the manufacturing overhead account.
◍ Applied manufacturing overhead is directly recorded as a credit to which
2026 FULL QUESTIONS AND SOLUTIONS
GRADED A+
◍ Miscellaneous materials like glue and nails would be classified as....
Answer: Manufacturing overhead.
◍ When the product or service provided can be considered as separate and
distinct from other products or services provided, and the manufacturing
processes used are different for different products. Doesn't track period
costs..
Answer: Job order costing.
◍ When a company must must track the costs of the product being produced or
the service being provided to be able to compare the cost of the product or
service with the price the market is offering..
Answer: Price-taker.
◍ In cases where the product is customized and unique and the maker of the
product is able to charge a price based on costs and a markup..
Answer: Price-maker.
◍ Examples of such companies include manufacturers of paint, soft drinks,
and newspapers, and most food processing plants. Other examples include
large-scale tax preparation or loan processing firms, such as H&R Block,
preparing typical income tax returns for individuals..
Answer: Process costing.
◍ Direct materials, direct labor, and manufacturing overhead..
Answer: Components tracked in job order costing.
◍ The cost of raw materials that are used directly in the manufacture of
, products and are kept in the raw materials warehouse until used..
Answer: Direct materials.
◍ The wages and other payroll-related expenses of factory employees who
work directly on products..
Answer: Direct labor.
◍ Includes all manufacturing costs that are not classified as direct materials or
direct labor. This includes miscellaneous materials used in production, such
as glue or nails; wages for the factory supervisor, controller, and custodians
who work in the factory but not directly on products; and other
manufacturing costs, such as utilities, depreciation of manufacturing
facilities, insurance, and property taxes..
Answer: Manufacturing overhead.
◍ Costs related to the production facility, including property taxes on the
plant..
Answer: Product costs.
◍ Costs not related to the production facility..
Answer: Period costs.
◍ Direct labor hours or machine hour time..
Answer: Ways to allocate manufacturing overhead to a product.
◍ An estimate of the overhead that will be incurred for each unit (in this case,
allocated on the basis of machine hours and direct labor hours)..
Answer: Manufacturing overhead rate.
◍ A temporary holding tank for overhead costs that you do not immediately
know how to assign to production..
Answer: Manufacturing overhead account.
◍ How are actual manufacturing overhead costs incurred throughout the year
journalized?.
Answer: Debits into the manufacturing overhead account.
◍ Applied manufacturing overhead is directly recorded as a credit to which
