A process costing system is employed in those situations where:

Garrison 17e Rechecks 2020-09-25

a.

full or absorption cost approach is not employed.

b.

manufacturing involves a single, homogeneous product that flows evenly through the production process on a continuous basis.

c.

a service is performed such as in a law firm or an accounting firm.

d.

many different products, jobs, or batches of production are being produced each period.