Question
1)The controller of a local firm that uses a continuous production process asks you to recommend whether the company use weighted-average or FIFO process costing.
1)The controller of a local firm that uses a continuous production process asks you to recommend whether the company use weighted-average or FIFO process costing. what factors would you consider making a recommendation?
2)in the chapter, we said that the costs from a prior department are often excluded when comparing department's cost with its standards or budgets. However, when a department buys materials from an outside firm, those costs would almost always be part of the evaluation process. Why might a firm treat prior period costs differently for evaluation process from direct material costs purchased from another firm?
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