What is the main benefit of unit costing in industries producing similar products? Question 12Answer a. It simplifies cost allocation. b. It eliminates all fixed costs. c. It increases variable costs. d. It reduces production volume.
The main benefit of unit costing in industries producing similar products is:
a. It simplifies cost allocation.
Unit costing allows companies to allocate costs more easily and accurately to each unit produced, which is particularly beneficial in industries where products are similar and produced in large quantities.