Which of the following is a difference between a job-order costing system and a process-costing system?
A)A job-order costing system accumulates costs by department, while a process costing-system accumulates costs by job.
B)A job-order costing system is used only by manufacturing firms, while a process-costing system is used by both manufacturing firms and service firms.
C)A job-order costing system uses a single work-in-process account, while a process-costing system has a work-in-process account for every process.
D)A job-order costing system uses cost-sheets for assigning labor costs, while a process-costing system uses time tickets for assigning labor costs to processes.

Question

Quizplus · Accepted Answer

In a job-order costing system, there is usually one work-in-process account for all jobs, while in a process-costing system, there is a separate work-in-process account for each process. This allows for more detailed tracking of costs in a process-costing system, as each process may have different cost drivers and inputs.

Which of the Following Is a Difference Between a Job-Order