Which of the following is a similarity between job order costing and process costing systems?

Question

Quizplus · Accepted Answer

Both job order costing and process costing systems accumulate direct materials, direct labor, and manufacturing overhead costs. While job order costing is used for a specific product or job, and process costing is used for mass-producing identical products, they both involve the accumulation of costs. Option A is incorrect because job order costing is used for customized products, whereas process costing is used for mass-produced identical products. Option C is only applicable to a process costing system, not a job order costing system. Option D is incorrect because option B highlights a similarity between job order costing and process costing systems.

Which of the Following Is a Similarity Between Job Order