Which of the following companies would be the most likely to adopt a process costing system?
A) Law firm
B) Toy manufacturer
C) Motion picture producer
D) Cement manufacturer

Question

Quizplus · Accepted Answer

Process costing is a method used to determine the cost of producing a specific quantity of identical products, which is typical in industries such as manufacturing and production. Cement manufacturing involves a series of processes, making it an ideal candidate for process costing. Law firms, toy manufacturers, and motion picture producers do not typically manufacture products that are identical and produced in batches, so they are less likely to use a process costing system.

Which of the Following Companies Would Be the Most Likely