E$21\mathrm{.}1($LO $1),$ C Robert Wilkins has prepared the following list of statements about process cost accounting.

Processcostsystemsareusedtoapplycoststosimilarproductsthataremass$-$producedinacontin$-$

uous fashion.

A process cost system is used when each finished unit is indistinguishable from another.

Companiesthatproducesoftdrinks,movies,andcomputerchipswouldalluseprocesscostaccounting.

In a process cost system, costs are tracked by individual jobs.

Job order costing and process costing track different manufacturing cost components.

Both job order costing and process costing account for direct materials, direct labor, and manufac$-$ turing overhead.

Costs flow through the accounts in the same basic way for both job order costing and process costing.

In a process cost system, only one work in process inventory account is used.

In a process cost system, costs are summarized in a job cost sheet.

In a process cost system, the unit cost is the sum of materials costs and conversion costs, each

divided by their respective equivalent units.

Instructions

Identify each statement as true or false. If false, indicate how to correct the statement.