Job costing information is used ________.
A) to determine target customers
B) to calculate the percentage of completion
C) for internal financial reporting
D) to enhance public relations

Question

Quizplus · Accepted Answer

Job costing information is primarily used for internal financial reporting purposes. It helps managers determine the cost of specific jobs or projects, which in turn can be used to set pricing and make decisions about resource allocation. While some of the data gathered through job costing may be useful in determining target customers or enhancing public relations, those are not the primary purposes of this accounting method. Calculating the percentage of completion may be a part of job costing, but that alone is not the main reason why companies use this approach to accounting.

Job Costing Information Is Used ________