A process cost accounting system records all actual factory overhead costs directly in the work in process account.

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Esmeralda Colon · Accepted Answer

Final Answer : False, Explanation :  In a process cost accounting system, factory overhead costs are accumulated in a separate account called the manufacturing overhead account. The costs are then allocated to the work in process, finished goods, and cost of goods sold accounts based on a predetermined overhead rate.

A process cost accounting system records all actual factory overhead costs directly in the work in process account.

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