Process Costing MCQs

True Tamplin

Written by True Tamplin, BSc, CEPF®
Updated on August 14, 2021

This quiz, process costing multiple choice questions (MCQs), tests a student’s knowledge of the fundamentals. Completing it will be helpful to prepare for exams and interviews.

The quiz contains 9 MCQs with 4 possible options for each MCQ. Students need to select the correct option to proceed to the next question.

You can complete the MCQs test for process costing below. If you find any questions difficult, you can learn more about process costing from the section on cost accounting.

1. The monetary value attributed to normal losses in a process should be:

2. Details for the past month of a continuous process are:

3. An abnormal gain in a process occurs in which of the following situations?

4. When process scrap is recycled to be used with new material, which of the following is most likely to be the value at which it is debited to the process?

5. Which of the following is the best explanation of the relevance of equivalent production units in process costing?

6. Purchased materials are added in the second department of a three-department process. This order does not increase the number of units produced in the second department and would:

7. The physical flow of units into and out of departments is shown on the:

8. Purchased materials are added in the second department of a three-department process. This increases the number of units produced in the second department and would always:

9. An equivalent unit of material or conversion cost is equal to:


 

True Tamplin, BSc, CEPF®

About the Author
True Tamplin, BSc, CEPF®

True Tamplin is a published author, public speaker, CEO of UpDigital, and founder of Finance Strategists.

True contributes to his own finance dictionary, Finance Strategists, and has spoken to various financial communities such as the CFA Institute, as well as university students like his Alma mater, Biola University, where he received a bachelor of science in business and data analytics.

To learn more about True, visit his personal website, view his author profile on Amazon, his interview on CBS, or check out his speaker profile on the CFA Institute website.

3 thoughts on “Process Costing MCQs”

    • Thanks! Let us know what other kinds of information you’d like to see and we’ll try to add it in the future. Best of luck!

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