Question

Question: Samsung produces digital televisions with a multiple-process production line. Identify and list some of its production processing steps and departments.

Short answer

Various production processing steps:

1. Purchasing department
2. Processing departments
3. Assembly department
4. Quality department
5. Packing and shipping department

Step-by-step solution

Definition of Process Costing

The costing method used by the business entity to allocate operational costs to the goods produced in mass is known as process costing. It is used by the business entity whose product passes through different processes.

Product Line

A group of products connected to each other and sold by a single company is known as a product line. Such as a company selling various electrical goods under the same brand.

Production processing steps and department

1. Purchasing department: The purchasing department is the company’s unit concerned with purchasing raw materials used in the production process.
2. Processing department: A processing department is a unit concerned with processing raw materials to convert them into semi-finished or finished goods.
3. Assembly department: A unit with technicians and professional individuals that combines semi-finished goods to make it a finished good is known as the assembly department.
4. Quality department: A department that inspects the finished goods to determine their quality is known as the quality department.
5. Packing and shipping department: This department is concerned with packing the finished goods in a safe material and transferring it to the market where they can be offered to prospective customers.