Trenton Company is a manufacturing company with several processing departments.The company uses a process costing system.When goods are complete,the product cost transferred to finished goods inventory includes the sum of product costs from all the processing departments.

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This is a correct statement about process costing system. Under process costing system, the product cost is accumulated and allocated to each processing department before being transferred to the finished goods inventory. The final product cost includes the sum of costs incurred in all the processing departments.

Trenton Company Is a Manufacturing Company with Several Processing Departments