Assignment title: Information
Universal Industries operates a division in Zimbabwe, a country with very high inflationrates. Traditionally, the company has used the same costing techniques in all countries tofacilitate reporting to corporate headquarters. However, the financial accounting reports fromZimbabwe never seem to match the actual unit results of the division. Management hasstudied the problem and it appears that beginning inventories may be the cause of theunmatched information. The reason for this is that the inventories have a different financialbase because of the severe inflation.Required:How can process costing assist in addressing the problem facing Universal Industries?5