In process cost accounting, manufacturing costs are summarized on a:

A. job order cost sheet
B. process order cost sheet
C. manufacturing cost sheet
D. production cost report

The correct option is D - Production cost report

Explanation:

1. By ascertaining the true cost the management is able to decided the justified selling price which is to be charged from customer

2. cost accounting focuses on cost control & cost reduction , therefore the management is able to improve efficiency level & profit earning capacity of firm

3. during trade recession matter of survival becomes the most important factor , only those firm can survive who are aware of their true cost

4. efficiency are achieved when weakness are achieved & rectified , cost accounting helps in identifying the material wastage & unproductive labor time , therefore, the management may take appropriate action for its avoidance