A process costing production report prepared using the weighted-average method is acceptable for external reporting purposes whereas a process costing production report prepared using the FIFO method is not acceptable for external reporting purposes.Either method of preparing a process costing production report is acceptable for external reporting (GAAP).

Question

Quizplus · Accepted Answer

Both the weighted-average and FIFO methods are acceptable for external reporting purposes under GAAP.

A Process Costing Production Report Prepared Using the Weighted-Average Method