Indicate Whether Each of the Following Statements About Product Cost

Short Answer

Indicate whether each of the following statements about product cost systems is true or false.The type of product made by a manufacturer affects the type of accounting system that it should use to calculate the costs of its products.Hybrid costing systems are used by service businesses, but not manufacturing companies.A company that manufactures high-volume industrial chemicals such as sulfuric acid would use a job-order cost system.An automobile repair shop would use a job-order cost system to assign costs to individual jobs.Only process cost systems require averaging in assigning costs to products.