Process Costing System Multiple Choice Questions (MCQ) PDF Download

MCQ 1: The total costs incur in a production process, is divided by total number of output units, to calculate the

1. cost of indirect labor
2. cost of direct labor
3. cost of direct material
4. unit costs

MCQ 2: A unit cost calculated in costing system, by assigning total costs incurred to many similar units is categorized as

1. accounting period costing system
2. process costing system
3. job costing system
4. none of above

MCQ 3: The first step in process costing system is to

1. summarize flow of output
2. compute output in units
3. summarize total costs
4. compute cost for each equivalent unit

MCQ 4: The fifth step in process costing system is to

1. allocate separable costs
2. allocate joint costs
3. compute gross margin
4. assign total cost to completed units

MCQ 5: The forth step in process costing system is to

1. summarize total costs
2. compute cost for each equivalent unit
3. summarize flow of output
4. compute output in units