A company that offers customized products would use job order costing.Job order costing is used by companies that offer customized products or services.

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Job order costing is the most suitable costing system for companies that produce unique and customized products or services, which require specific inputs, processes, and resources for each job. The costs are accumulated for each job separately, by assigning direct and indirect costs to a specific order, batch, or project. Therefore, the company can calculate the total cost of each job, and determine the selling price based on the actual cost and desired profit margin. This method is widely used in industries such as construction, engineering, printing, and consulting services.

A Company That Offers Customized Products Would Use Job Order