Unformatted text preview: true 6. The component calculation of equivalent units in the ending WIP Inventory will be the same under both the FIFO and the Weighted Average methods of process costing. MC Questions: (2 points each) 1. Which of the following characteristics applies to process costing, but does not apply to job-order costing? A.) the need for averaging. B.) the use of predetermined overhead rates. C.) the use of equivalent units. D.) separate, identifiable jobs. The answer is C 2. A process costing system: A.) uses a single WIP account for the entire company. B.) uses a separate WIP account for each processing department. C.) uses a separate WIP account for each type of product produced. D.) does not use a WIP account in the accounting records. The answer is B...
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- Summer '08
- Managerial Accounting, Weighted mean, Weighted Average Method, WIP account, Christine Donaldson, separate WIP account