In a process-costing system, the costing of goods transferred out in BWIP inventory is difficult because there are multiple categories of completed units.

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In a process-costing system, the costing of goods transferred out in BWIP inventory is relatively easy because all completed units are typically homogenous and can be costed using the same method. It is the costing of goods in ending work in process (EWIP) inventory that can be difficult because there may be multiple categories of partially completed units with varying levels of completion.

In a Process-Costing System, the Costing of Goods Transferred Out