Asked by Melonie Johnson on May 21, 2024
Verified
Briefly explain the conditions under which job order cost accounting systems and process cost accounting systems are commonly applied.
Job Order Cost Accounting
An accounting system that accumulates costs for each individually identifiable job or batch, enabling precise cost tracking and management.
- Differentiate between job order manufacturing and process manufacturing systems.
Verified Answer
CP
Casey PapabearMay 27, 2024
Final Answer :
Job order cost accounting systems are commonly used when each product or job has a unique design so that the manufacturing process focuses on the production of that specific job.
Process cost accounting systems are commonly used when manufacturing operations produce a large volume of standardized units that generally pass from one manufacturing process to another.
Process cost accounting systems are commonly used when manufacturing operations produce a large volume of standardized units that generally pass from one manufacturing process to another.
Learning Objectives
- Differentiate between job order manufacturing and process manufacturing systems.