Question:
Which of the following statements about process costing system is incorrect?
A) In a process costing system, each processing department has a work in process account.
B) In a process costing system, equivalent units are separately computed for materials and for conversion costs.
C) In a process costing system, overhead can be under- or overapplied just as in joborder costing.
D) In a process costing system, materials costs are traced to units of products.