The correct answer is: A. transferred-in costs.
Transferred-in costs are the costs of materials and services that are transferred from one department to another in a process costing system. They are included in the cost of goods manufactured in the department that receives the transferred-in materials.
Transferred-out costs are the costs of goods that are transferred from one department to another in a process costing system. They are included in the cost of goods sold in the department that transfers the goods.
FIFO costs are the costs of the first goods that were manufactured in a process costing system. They are included in the cost of goods manufactured in the department that manufactured the goods.
LIFO costs are the costs of the last goods that were manufactured in a process costing system. They are included in the cost of goods sold in the department that manufactured the goods.
In a process costing system, the costs of materials and services that are transferred from one department to another are called transferred-in costs. These costs are included in the cost of goods manufactured in the department that receives the transferred-in materials.