Chapter 19, Problem 6BTN

To determine

Job Order Costing:

Job order costing is a system of allocating cost of production to an individual product or group of products. Under job order costing, each individual product or batches of products are treated as separate unit due to its unique features customize by the customers.

To determine:

1. Is a job order costing system appropriate for the clinic? Explain

2. Identify as many factors as possible to lead you to conclude that the clinic uses a job order system.