The journal entries used to record cost flows in a process costing system are the same as those used to record cost flows in a job order costing system.

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In both process costing and job order costing, the cost flows are recorded in journal entries involving the use of materials, direct labor, and manufacturing overhead. The difference lies in how the costs are accumulated and assigned to products. In process costing, costs are accumulated by department or process and assigned to units based on their average cost, while in job order costing, costs are accumulated by job or order and assigned to products based on their actual cost.

The Journal Entries Used to Record Cost Flows in a Process