Goods are homogeneous in ______ systems.

Question

Quizplus · Accepted Answer

In process costing systems, goods are produced in large quantities and are typically homogeneous, meaning they're identically produced. This makes it easier to assign the cost of production to each unit of output. Job costing is used when goods are produced in smaller quantities or are custom-made, and hybrid costing combines features of both job and process costing. Overhead refers to indirect costs, such as rent or utilities, that are incurred in the production process.

Goods Are Homogeneous in ______ Systems