Which of the following is the method of allocating costs to individual residential units in the land development and home building industry?
A) Variable costing.
B) Job order costing.
C) Historical costing.
D) Acquisition costing.

Question

Quizplus · Accepted Answer

Job order costing is the method of allocating costs to individual residential units in the land development and home building industry. It involves identifying the direct and indirect costs associated with a specific job or project, and allocating those costs to the individual units based on their specific characteristics and needs. This allows builders and developers to accurately track the costs associated with each unit, and determine the profitability of each project. Variable costing, historical costing, and acquisition costing are not specific methods for allocating costs to individual residential units in the land development and home building industry.

Which of the Following Is the Method of Allocating Costs