The correct answer is: A. continuous
Process costing is a type of costing system that is used to assign costs to products that are mass-produced in a continuous fashion. This type of costing system is often used in industries such as manufacturing, where products are produced in large quantities on a continuous basis.
In process costing, costs are assigned to products based on the number of units produced. This means that the cost of each unit produced is the same, regardless of the time or resources that were used to produce it.
Process costing is a relatively simple costing system to use, and it can be very effective in tracking the costs of mass-produced products. However, it is important to note that process costing does not take into account the individual costs of each unit produced. This can be a limitation of process costing, as it can make it difficult to track the costs of specific products or batches of products.
The other options are incorrect because they do not accurately describe process costing.
- Batch costing is a type of costing system that is used to assign costs to products that are produced in batches. This type of costing system is often used in industries such as pharmaceuticals, where products are produced in batches of a few hundred or thousand units.
- Multiple costing is a type of costing system that is used to assign costs to products that are produced in multiple batches. This type of costing system is often used in industries such as construction, where products are produced in multiple batches over a period of time.
- Job costing is a type of costing system that is used to assign costs to products that are produced in a job-order fashion. This type of costing system is often used in industries such as custom manufacturing, where products are produced to meet the specific needs of a customer.