In: Accounting
Which of the following industries would typically use job order
costing, and whiuch would typically use process costing?
Dentist
Gasoline refining
flour mill
movie studio
Paper manufacturing
Custom printing
Answer = | |
Dentist: | |
Dentist uses job order costing because each patient have different cost and different requirement | Job Order Costing |
Gasoline refining | |
This is a refinary project and refine work will done through various proces so refining projects are use process costing | Process Costing |
flour mill | |
Four mill are used jpb order costing because each works are assigned seprate for flour mill | Job Order Costing |
movie studio | |
Each Movies are made seprately with others, Costing and profigtablity of each movies is taken seprately and each movie is a job so they are using the job costing | Job Order Costing |
Paper manufacturing | |
Manufacturing will require various process so they uses the process costing | Process Costing |
Custom printing | |
Custome printing means printing done on requirement basis it means the cost is also taken on custome basis and so they use the job order costing | Job Order Costing |