Which of the Following Is an Example of an Industry

question 142

Multiple Choice

Which of the following is an example of an industry that would use a process costing-rather than a job costing-system?

• A)Brugman Custom Cabinetry
• B)Computer Repair
• C)Pepsi
• D)Smith & Zu Certified Public Accountants

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Definitions:

Merchandisers

Businesses that purchase and sell goods without significantly altering their form.

Performance Obligation

A duty or commitment that a company must fulfill to transfer a promised good or service to a customer.

Sales Returns And Allowances

Sales returns and allowances account for the reduction in sales revenues due to returned or defective products allowed by a company to its customers.

Sales Discounts

Reductions in the price of goods or services offered to customers, typically in exchange for early payment.