A company should use process costing, rather than job order costing, if: product
ID: 2412051 • Letter: A
Question
A company should use process costing, rather than job order costing, if:
production is only partially completed during the accounting period.
the product is manufactured in batches only as orders are received.
the product is composed of mass-produced homogeneous units.
the product goes through several steps of production.
a.production is only partially completed during the accounting period.
b.the product is manufactured in batches only as orders are received.
c.the product is composed of mass-produced homogeneous units.
d.the product goes through several steps of production.
Explanation / Answer
Answer ) option c
the product is composed of mass-produced homogeneous units
since job costing is used for customer specifice products
Answer ) option c
the product is composed of mass-produced homogeneous units
since job costing is used for customer specifice products
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