Which of the Following Statements Best Defines an Operation Costing

Multiple Choice

Which of the following statements best defines an operation costing system?

A) It is identical to a process costing system except that actual manufacturing overhead costs are traced to units of product.
B) It is the same as a process costing system except that direct materials costs are accounted for in the same way as in job-order costing system.
C) It is the same as a job-order costing system except that direct materials costs are accounted for in the same way as in a process costing system.
D) It is identical to a job-order costing system except that actual manufacturing overhead costs are traced to units of product.