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Zone Refining

The method of...

Question

The method of costing used in a refinery is _________ costing.

A

Process

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B

Batch

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C

Multiple

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D

Job

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Solution

The correct option is B Process
When a product passed through different stages, cost of each stage need to be ascertained. In such cases , process costing is used. In case of refinery, there are various processes involved, hence process costing is involved.

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