Select the most appropriate costing system for each of the following industries
* Each costing system may be used more than once.
-Home builder
A)Process costing
B)Job-order costing

Question

Quizplus · Accepted Answer

Home builders typically construct homes one at a time and each home is unique, which makes job-order costing the best choice for this industry. Job-order costing allows costs to be attributed to each individual project and helps determine the profitability of each home built.

Select the Most Appropriate Costing System for Each of the Following