In a process costing system, with the exception of the first department, each department receives output from the prior department as a partially processed product.

A. True.

b. False.

Question

Business

Alonzo Terrell

27 August, 00:04

In a process costing system, with the exception of the first department, each department receives output from the prior department as a partially processed product.

A. True.

b. False.

+1

Answers (1)

Know the Answer?

Corbin Obrien · Answer 1

A. True.

Explanation:

Process costing system: It is a system cost accounting, wherein all the direct and indirect cost related to manufacturing are collected and assigned at the end of an accounting period. This process is used for the manufacturing of large quantity of products and therefore, each department receives output from the prior department as a partially processed product, which is called work in progress product and finally at the end it become finished product to be sold at market. Example of the process costing is Brick manufacturing company, juice bottling plant, etc.

In a process costing system, with the exception of the first department, each department receives output from the prior department as a partially processed product.A. True.b. False.

In a process costing system, with the exception of the first department, each department receives output from the prior department as a partially processed product.

A. True.

b. False.