The end goal of process costing and job costing at a manufacturing company is the same: to find the cost of producing one unit of product.

Question

Quizplus · Accepted Answer

Both process costing and job costing aim to accurately allocate costs to products, but they do it in different contexts: process costing is used for homogeneous products and job costing for unique, custom orders. The end goal of both methods is to determine the cost of producing one unit of product to help in pricing, budgeting, and financial analysis.

The End Goal of Process Costing and Job Costing at a Manufacturing