Which of the Following Statements Regarding Backflush Costing Is False

question 28

Multiple Choice

Which of the following statements regarding backflush costing is false?

• A) Backflush costing is simpler and less expensive than conventional product costing.
• B) Backflush costing provides more-detailed information than a job order costing system.
• C) When using backflush costing,a cost-benefit decision needs to be made.
• D) It is only likely to be used in an environment where production-related inventories are kept low.

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