List and Explain the Six Steps of Cost Assignment When

question 145

Essay

List and explain the six steps of cost assignment when using process costing.How does cost assignment differ between the weighted average and FIFO methods?

---

Definitions:

Perfectly Elastic Demand

A market situation in which demand for a product is infinitely sensitive to changes in price.

Inelastic Demand

A situation where the demand for a product or service does not significantly change in response to price alterations.

Elasticity Value

A measure in economics indicating how the quantity demanded or supplied of a good responds to changes in price or income.

Inelastic Demand

A situation in which the quantity demanded of a good or service changes by a relatively small amount in response to a change in its price.