Process costing is applied to operations with repetitive production and noncustomized products.

Question

Quizplus · Accepted Answer

Process costing involves a system for assigning costs to each production batch. This is typically used in manufacturing operations that produce large volumes of similar products or materials. Process costing is not well-suited to operations that produce customized products, such as those in a job shop, as each product will have unique production costs.

Process Costing Is Applied to Operations with Repetitive Production and Noncustomized