Which one of the following statements is true

ACCOUNTING

Multiple Choice

Which one of the following statements is true?

a. In a job-costing system, individual jobs use different quantities of production resources.

b. In a process-costing system each unit uses approximately the same amount of resources.

c. An averaging process is used to calculate unit costs in a job-costing system.

d. Both (a) and (b) are true.

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Process costing should be used to assign costs to products when

ACCOUNTING

Multiple Choice

Process costing should be used to assign costs to products when

a. the units produced are similar.

b. the units produced are dissimilar.

c. the calculation of unit costs requires the averaging of unit costs over all units produced.

d. either (a) or (c) are present.

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Which of the following manufactured products would not use process costing

ACCOUNTING

Multiple Choice

Which of the following manufactured products would not use process costing?

a. 767 jet aircraft

b. 19-inch television sets

c. Custom built houses

d. (a) and (c) would not use process costing.

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Costing systems that are used for the costing of like or similar units of products in mass production are called

ACCOUNTING

Multiple Choice

Costing systems that are used for the costing of like or similar units of products in mass production are called

a. inventory-costing systems.

b. job-costing systems.

c. process-costing systems.

d. weighted-average costing systems.

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An operation-costing system uses work orders that specify needed direct materials and step-by-step operations

ACCOUNTING

True or False

An operation-costing system uses work orders that specify needed direct materials and step-by-step operations

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Hybrid costing systems are developed to cost products that are produced in a standardized environment, but are often customized to meet the needs of

ACCOUNTING

True or False

Hybrid costing systems are developed to cost products that are produced in a standardized environment, but are often customized to meet the needs of some of its customers

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Each department is regarded as a distinct accounting entity when interdepartmental transfers are present in an organization

ACCOUNTING

True or False

Each department is regarded as a distinct accounting entity when interdepartmental transfers are present in an organization

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