For a given process/department, if there is no beginning work-in-process, both the weighted average and first-in first out (FIFO) methods of process costing result in the same amount for which of the following? I. Equivalent units of production for materials II. Cost per equivalent unit for conversion III. Cost of completed units IV. Cost of ending work-in-process A. I and III B. II and IV C. I and II D. I, II, III, and IV E. I, III, IV
Process Costing
Process costing is a sort of operation costing which is employed to determine the value of a product at each process or stage of producing process, applicable where goods produced from a series of continuous operations or procedure.
Job Costing
Job costing is adhesive costs of each and every job involved in the production processes. It is an accounting measure. It is a method which determines the cost of specific jobs, which are performed according to the consumer’s specifications. Job costing is possible only in businesses where the production is done as per the customer’s requirement. For example, some customers order to manufacture furniture as per their needs.
ABC Costing
Cost Accounting is a form of managerial accounting that helps the company in assessing the total variable cost so as to compute the cost of production. Cost accounting is generally used by the management so as to ensure better decision-making. In comparison to financial accounting, cost accounting has to follow a set standard ad can be used flexibly by the management as per their needs. The types of Cost Accounting include – Lean Accounting, Standard Costing, Marginal Costing and Activity Based Costing.
QUESTION 48
-
For a given process/department, if there is no beginning work-in-process, both the weighted average and first-in first out (FIFO) methods of
process costing result in the same amount for which of the following?I. Equivalent units of production for materials
II. Cost per equivalent unit for conversion
III. Cost of completed units
IV. Cost of ending work-in-process
A. I and III
B. II and IV
C. I and II
D. I, II, III, and IV
E. I, III, IV
Trending now
This is a popular solution!
Step by step
Solved in 3 steps
