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Question 1: Which of the following most accurately describes the contrast between process and job costing?
Point A) In process costing, they include all the factors of production but job costing includes only materials and labor
Point B) job costing includes materials, labor and overhead while process costing only considers conversion costs
Point C) the main difference is the extent of averaging used to compute the unit costs
Point D) job costing measures the variable cost of identical jobs while process costing measures the cost of identical products using average units costs of materials and conversion costs, some of which are fixed costs
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