Question

In a process cost system, the amount of work in process inventory is valued by___________.

a.finding the sum of all completed jobs.
b.finding the sum of all open job costs.
c.allocating departmental costs between completed and partially completed units.
d.multiplying units in ending inventory by the direct materials cost per unit.

Answer 1

The correct answer would be option C, allocating departmental costs between completed and partially completed units.

In a process cost system, the amount of work in process inventory is valued by allocating departmental costs between completed and partially completed units.

Explanation:

Process cost system is a costing system in Accounting in which the manufacturing cost is collected and assigned to the units produced. This costing system is used when similar units of products are produced in mass quantities.

The work in process inventory is being valued in this costing system by allocating departmental costs between completed and partially completed units.

Learn more about Process Cost System at:

https://brainly.com/question/3405384

#LearnWithBrainly