Match each costing system characteristic to job order costing , process costing , or both. Used by companies that manufactures identical items through a series of uniform production steps or processes
Match each costing system characteristic to job order costing , process costing , or both. Used by companies that manufactures identical items through a series of uniform production steps or processes
Match each costing system characteristic to job order costing, process costing, or both.
Used by companies that manufactures identical items through a series of uniform production steps or processes
Definition Definition Accounting technique that tracks the costs of materials, labor, and overhead for a particular job. The main purpose of job costing is to determine the profit or loss for each job. Repetitive work or poorly allocated employees can be addressed for the upcoming project through job costing.
Expert Solution & Answer
To determine
Match the given statement to job order costing, process costing, or both.
Explanation of Solution
Process Costing: Process costing is method of cost accounting in which all the costs that are incurred production process are recorded. Output of one process becomes input for next process. This method is used to apply cot to similar products that are mass-produced in uninterrupted manner.
Process costing is “Used by companies that manufacture identical items through a series of uniform production steps or processes”.
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