A process cost system would be appropriate for a
A) natural gas refinery
B) jet airplane builder
C) catering business
D) custom cabinet builder

Question

Quizplus · Accepted Answer

A process cost system is appropriate for industries where large quantities of identical or similar products are produced, such as a natural gas refinery. The refinery would produce large quantities of natural gas of uniform quality, which would require similar processing at different stages. Process cost system accumulates costs in each production department and computes unit costs for each department.

A Process Cost System Would Be Appropriate for a