Breech & Watkin Limited produces custom-built summerhouses.Each summerhouse is individually designed for the client, and no two are alike.Which method of accumulating costs is most appropriate for Breech & Watkin?
A)product costing
B)service costing
C)job costing
D)batch costing

Question

Quizplus · Accepted Answer

Job costing is appropriate for businesses that produce unique and customized products/services for each customer, such as Breech & Watkin Limited. Each summerhouse produced is unique and requires specific materials and labor, making job costing the most suitable method of accumulating costs. Product costing, service costing, and batch costing are not appropriate as they are more suited for standardized production or service provision.

Breech & Watkin Limited Produces Custom-Built Summerhouses