Select the Incorrect Statement Regarding Cost Flows Through a Process

Multiple Choice

Select the incorrect statement regarding cost flows through a process costing system.

A) The process costing system is patterned after the physical flow of products as they move through the production process.
B) The three inventory accounts used are maintained on a perpetual basis.
C) Product costs are accumulated separately by job.
D) A separate Work in Process account is maintained for each department or process.