An operation costing system is A. the same as a job-order system, except that di

Question

An operation costing system is

A. the same as a job-order system, except that direct materials costs are accounted for in the same way as in process costing.
B. the same as a process-costing system, except that direct materials costs are accounted for in the same way as in job-order costing.
C. identical to a job-order costing system, except that actual manufacturing overhead costs are traced to units of product.
D. identical to a process-costing system, except that actual manufacturing overhead costs are traced to units of product.

Explanation / Answer

D. The same as job-order system, except that direct materials cost are accounted for in the same way as in process costing.

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