Question

Companies that manufacture identical items through a series of uniform production steps use? ________ to determine cost per unit sold.
a. the? first-in, first-out method

b. the? weighted-average method

c. a process costing system

d. a job order costing system

Answer 1

The correct answer would be C. Companies that manufacture identical items through a series of uniform production steps use a process costing system to determine cost per unit sold. It is a operation costing where in every process the product goes a certain cost is being ascertained to determine the final cost of the whole production.