Identify Which One of the Following Statements Regarding Backflush Costing

question 103

Multiple Choice

Identify which one of the following statements regarding backflush costing is false.

• A)Backflush costing has only one category of costs: conversion costs.
• B)Backflush costing does not have a Work-in-Process Inventory account.
• C)Costs are transferred out almost immediately after being initially recorded.
• D)Some backflush-costing systems eliminate the Finished-Goods Inventory account and transfer costs directly to Cost of Goods Sold.

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Interest Level

The degree of curiosity or concern one has in a subject or activity.

Teamwork

The cooperative effort by the members of a group to achieve a common goal.

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Organized and systematic arrangement of relationships, duties, and roles within an organization.