Process costing averages the total cost of the process over the number of units produced.Process costing breaks the production process down into its basic steps,or processes,and then averages the total cost of the process over the number of units produced.

Question

Quizplus · Accepted Answer

Process costing calculates the average cost by dividing the total cost of the process by the number of units produced in that process. This method is commonly used in industries such as manufacturing, chemical processing, and food processing, where large quantities of identical products are produced using a continuous process.

Process Costing Averages the Total Cost of the Process Over