Both the number of entries and the number of ledger accounts decrease when you change to a backflush costing system.

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In a backflush costing system, the recording of costs is delayed until the production process is completed. This reduces the number of entries required in the ledger since the costs are only recorded at the end of the process. Also, the number of ledger accounts is reduced because the system only tracks a few major accounts, such as raw materials, work in progress, and finished goods.

Both the Number of Entries and the Number of Ledger