Asked by Brandon McMahon on Jun 15, 2024

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In a process cost system unit costs are determined using a

A) numerator of costs of each job.
B) denominator of units produced during the period.
C) denominator of units produced for the job.
D) denominator of units produced for the day.

Process Cost System

An accounting system used to track costs associated with processes that produce homogeneous products.

Unit Costs

The cost incurred to produce, store, and sell one unit of a product or service.

  • Acquire knowledge on the allocation and accounting of production costs in a process costing structure.
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KS
Krystal ScrivensJun 17, 2024
Final Answer :
B
Explanation :
In a process cost system, unit costs are determined by dividing the total production costs by the total number of units produced during the period. Therefore, the denominator used to determine unit costs is the number of units produced during the period, which is choice B.