TP3.

LO 5.4How is process costing for a single manufacturing department different from a manufacturing company with multiple departments?

Answer and explanation:

Production cost is any expense associated with manufacturing a good or providing a service. Production costs provide a baseline determining a product's profitability. The difference between production costs for a one-department company and a multiple-department company lays in the specialization. The first is dedicated to one type of manufacturing only, while the second has to find a way to adapt the costs to each department to maximize profits.