Which of the following industries are likely to be using process costing?
i. Petroleum
ii. Computer manufacture
iii. Sugar refining
iv. Furniture manufacture
A) i and ii
B) ii and iii
C) i and iii
D) ii and iv

Question

Quizplus · Accepted Answer

Process costing is a method used to determine the cost of producing a product or service that is identical or similar in nature. Petroleum and sugar refining are industries where process costing is used to determine the cost of producing homogeneous products. In contrast, computer manufacture and furniture manufacture are industries where job costing or custom costing is typically used instead of process costing.

Which of the Following Industries Are Likely to Be Using