Final answer:
Process costing is used for homogeneous products in industries where goods are continuously produced and indistinguishable. Other costing methods such as Actual, Job, and Traditional are applied in different manufacturing contexts.
Step-by-step explanation:
Process costing is used by a business to price homogeneous products. It is a method of assigning costs to homogeneous products by averaging the costs across all units produced. This method is typically applied in industries where the products are indistinguishable from each other and produced in a continuous flow, such as chemicals, petroleum, textiles, and food production. Actual, Job, and Traditional costing methods are used in different contexts. Actual costing tracks the actual costs of production, Job costing is used when products are customized or not homogeneous, and Traditional costing applies overhead using a predetermined rate.