Which of the following is not true about operation-costing systems?
A)Uses work orders that specify the needed direct materials.
B)Product costs are compiled for each work order.
C)Each unit is assumed to use an identical amount of conversion costs.
D)Focuses on the control of physical processes,or operations,or a given production system.
E)Managers assume that operation unit costs are different regardless of the work order.

Question

Quizplus · Accepted Answer

Operation-costing systems assume that conversion costs are the same for all units, regardless of the work order, which contradicts the statement in option E.

Which of the Following Is Not True About Operation-Costing Systems