In a process cost accounting system, with the exception of the first department, each department receives output from the prior department as a partially processed product.

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Quizplus · Accepted Answer

This is true. In a process cost accounting system, each department is responsible for adding value to the partially processed product received from the prior department until it is a finished product ready for sale. However, the first department in the process typically receives raw materials, not partially processed products.

In a Process Cost Accounting System, with the Exception of the First