Question

In a process cost system, A) a work in process account is maintained for each product. B) a materials requisition must identify the job on which the materials will be used. C) a work in progress account is maintained for each process.D) one work in process account is maintained for all processes

Answer 1

Answer:

C) a work in progress account is maintained for each process.

Explanation:

Process cost systems are generally used when a company mass produces its products.

This system works very well when large amounts of products are being manufactured and they are all similar or the same. Also, the manufacturing processes are connected to each other.

In order to properly control the whole manufacturing process, a work in process account is kept for each individual process.