Assigning costs to units completed and to units in ending WIP inventory in a second department is a three-step process.

Question

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Assigning costs to units completed and to units in ending WIP inventory typically involves a four-step process: 1) Summarize the flow of physical units, 2) Compute equivalent units, 3) Summarize total costs to account for, and 4) Assign total costs to units completed and to units in ending WIP inventory.

Assigning Costs to Units Completed and to Units in Ending