Which costing system is most likely to be used by manufacturer that produces unique products?

Question

Quizplus · Accepted Answer

Job-order costing is most likely to be used by a manufacturer that produces unique products as each product is bespoke and requires its own job order for costing purposes. This allows for the costs of each product to be isolated and accurately allocated to the specific job. Process costing is better suited for a manufacturer that produces homogeneous products in large quantities, while parallel and sequential costing are not commonly used costing systems.

Which Costing System Is Most Likely to Be Used by Manufacturer