Question

_____ method of costing is used to form where production is made on continuous basis

Answer 1

Answer:

Process Costing – This method is used where production is done on continuous basis. The finished product (output) of one process becomes the input of (Subsequent) next process. In process costing costs are accumulated for each stage or process of production and cost per unit is ascertained for each process separately.

Answer 2

Process Costing method of costing is used to form where production is made continuously.

• The practice of calculating or estimating expenses is referred to as cost accounting.
• As a result, it is a collection of approaches and tactics for establishing and presenting prices for goods and services.
• These are tools for cost accountants.
• This technology is employed when continuous manufacturing is necessary.
• The finished product (output) of one process becomes the input of the next (following) process.
• Process costing collects costs for each stage or process of production and calculates the cost per unit for each process separately. A new account is established at each stage.