Purchase Solution

Popularity of process costing in industry

Not what you're looking for?

Ask Custom Question

Process costing is the most constantly use costing method in industries. Why is this?

Purchase this Solution

Solution Summary

This solution discusses process costing in industries.

Solution Preview

Process costing refers to a costing method that is used when a single product is produced on a continuing basis for a long period of time (Brewer, Garrison, & Noreen, 2007, p. 175). Examples of industries that use process costing are petroleum, chemical, oil refinery, textiles, and food processing industries (Anonymous, 2007). Many industries convert raw materials into uniform products such as bricks, soda, or paper into finished products on a continuous basis and therefore, it is appropriate to use process costing in an industrial setting (Brewer, Garrison, & Noreen, 2007, p. 175). In addition, process costing is used in industries rather than job-order-costing because when it comes to cost accumulation, process costing is simpler to use than job-order costing. For instance, when ...

Solution provided by:
Education
  • MBA, Aspen University
  • Bachelor of Science , Berea College
Recent Feedback
  • "Thank u"
  • "Thank You!"
  • "Thanks!"
  • "Thank you so much"
  • "Great job...thanks."
Purchase this Solution


Free BrainMass Quizzes
Organizational Behavior (OB)

The organizational behavior (OB) quiz will help you better understand organizational behavior through the lens of managers including workforce diversity.

Six Sigma for Process Improvement

A high level understanding of Six Sigma and what it is all about. This just gives you a glimpse of Six Sigma which entails more in-depth knowledge of processes and techniques.

Accounting: Statement of Cash flows

This quiz tests your knowledge of the components of the statements of cash flows and the methods used to determine cash flows.

Basics of corporate finance

These questions will test you on your knowledge of finance.

Paradigms and Frameworks of Management Research

This quiz evaluates your understanding of the paradigm-based and epistimological frameworks of research. It is intended for advanced students.