Transferred-in costs are always 100 percent complete at the beginning of the process in the new department.

Question

Quizplus · Accepted Answer

Transferred-in costs are costs that have been incurred in a previous department and are transferred to a new department where they become part of the production process. These costs are not necessarily 100 percent complete at the beginning of the process in the new department. They may require further processing, which will add to their cost, before they can be classified as complete in the new department.

Transferred-In Costs Are Always 100 Percent Complete at the Beginning