x

Choose Country Code

x

Direction

x

Ask a Question

  • Ask a Question
  • Scan a Question
  • Post MCQ
  • Note: File extension must be of jpg, jpeg, png, bmp format and file size must not exceed 5 MB
x

Ask a Question

x

x
x
x
Hire a Tutor

Answers and Solutions

What's Your Question?
Answer

When costing is done & cost is allocated to a particular process, it is called process costing. Basically it tells us what cost a aprticular process  is incuring in an organization.

Answer

Process costing is usually a significant chapter. It is a method of assigning costs to units of production in companies producing large quantities of homogeneous products. Process costing is a type of operation costing which is used to ascertain the costof a product at each process or stage of manufacture.

Answer
Process costing is an accounting methodology that traces and accumulates direct costs, and allocates indirect costs of a manufacturing process. Costs are assigned to products, usually in a large batch, which might include an entire month's production. Process costing systems allocate expenses to products by adding total costs at each stage of the manufacturing process then dividing these costs by the total number of units produced. This enables these companies to determine the costs associated with the products at each stage of the manufacturing process and cut costs as necessary per stage of manufacture.
Answer
Process costing involves the accumulation of costs for lengthy production runs involving products that are indistinguishable from each other. For example, the production of 100,000 gallons of gasoline would require that all oil used in the process, as well as all labor in the refinery facility be accumulated into a cost account, and then divided by the number of units produced to arrive at the cost per unit. Costs are likely to be accumulated at the department level, and no lower within the organization
Answer
Process costing is a method of costing used to ascertain the cost of production of each process, operation or stage of manufacture where processes are carried on having one or more of the following features: (i) Where the product of one process becomes the material of another process or operation, (ii) Where there is simultaneous production at one or more process of different products, with or without by product.
Answer
Process costing is a term used in cost accounting to describe one method for collecting and assigning manufacturing costs to the units produced. Processing cost is used when nearly identical units are mass produced.

Post Answer and Earn Credit Points

Get 5 credit points for each correct answer. The best one gets 25 in all.

Post Answer