In job order costing,individual jobs and products will be allocated different amounts of overhead costs depending on whether a single cost pool or multiple cost pools is used.

Question

Quizplus · Accepted Answer

That is correct. Job order costing can use either a single cost pool, where all overhead costs are allocated to jobs based on a single predetermined rate, or multiple cost pools, where overhead costs are allocated to jobs based on different cost drivers or activities. This results in more accurate costing of individual jobs and products.

In Job Order Costing,individual Jobs and Products Will Be Allocated