Weighted-average costing does not separate beginning inventory from current period activity: unit costs are a weighted average of the two. Under FIFO costing, unit costs are based on current period activity only. If computational and recordkeeping costs are about the same under both methods, weighted-average is generally preferred.

A. True

B. False: Weighted-average costing does separate beginning inventory from current period activity.

C. False: Under weighted-average, unit costs are based on current period activity only.

D. False: If computational and recordkeeping costs are about the same under both methods, FIFO costing is generally preferred.

E. B, C, and D

In general, process costing systems are more costly (and reflect unit costs better) than job s costing systems. In deciding which system to use, accountants and managers must decide whether the benefits of implementing a job costing system outweigh the costs associated with such a system.

A. True

B. False: In general, job costing systems are more costly (and reflect unit costs better) than process costing systems.

C. False: In deciding which system to use, accountants and managers need not decide whether the benefits of implementing a job costing system outweigh the costs associated with such a system.

D. both B and C

E. none of the above