Which of the following is true of job order cost systems? a.Job order cost systems provide product costs for each manufacturing department or process. b.Examples of companies that use job order cost systems would be oil refineries, paper producers, chemical processors, and food processors. c.Job order cost systems are not widely used. d.Job order cost systems are often used by companies that manufacture custom products for customers or batches of similar products.
Process Costing
Process costing is a sort of operation costing which is employed to determine the value of a product at each process or stage of producing process, applicable where goods produced from a series of continuous operations or procedure.
Job Costing
Job costing is adhesive costs of each and every job involved in the production processes. It is an accounting measure. It is a method which determines the cost of specific jobs, which are performed according to the consumer’s specifications. Job costing is possible only in businesses where the production is done as per the customer’s requirement. For example, some customers order to manufacture furniture as per their needs.
ABC Costing
Cost Accounting is a form of managerial accounting that helps the company in assessing the total variable cost so as to compute the cost of production. Cost accounting is generally used by the management so as to ensure better decision-making. In comparison to financial accounting, cost accounting has to follow a set standard ad can be used flexibly by the management as per their needs. The types of Cost Accounting include – Lean Accounting, Standard Costing, Marginal Costing and Activity Based Costing.
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Which of the following is true of
job order cost systems?a.Job order cost systems provide product costs for each manufacturing department or process.b.Examples of companies that use job order cost systems would be oil refineries, paper producers, chemical processors, and food processors.c.Job order cost systems are not widely used.d.Job order cost systems are often used by companies that manufacture custom products for customers or batches of similar products.
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