In a process costing system,each department's production costs are transferred to the next department and ultimately to the Finished Goods Inventory account.

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This statement is true. In a process costing system, the costs incurred in each department are transferred to the next department until the final department completes the product and transfers the total cost to the Finished Goods Inventory account. This allows for a continuous tracking and accumulation of production costs throughout the various stages of production.

In a Process Costing System,each Department's Production Costs Are Transferred