1. For which situation(s) below would an organization be more likely to use a process costing system of rather than a job-order costing system?
a paper mill that processes wood pulp into large rolls of paper
a shop that restores old cars to "showroom" quality
a framing shop that builds picture frames to order for individual customers
a masonry company that builds brick walls, bulkheads, and walkways designed by architects
2. Powell’s Courier Service recorded a loss of $9,000 when it sold a van that originally cost $84,000 for $15,000. Accumulated depreciation on the van must have been
a $78,000.
b $24,000.
c $75,000.
d $60,000.