The production is continuous. The product is homogeneous. The process is standardized. The output of one process becomes the raw material of another process. The output of the last process is transferred to finished stock.
Process Costing is the accounting of those industries which are involved in those products production which has no specific or clear start of fiscal year or accounting year because they are continuously involved in producing products like textile industries or manufacturing industries. In these industries work is done in more then one departments and products have to go through many departments to complete and in this process each department don't know how much cost they have incurred on that product to complete and as that product is complete in more then one department so it is not possible to allocate all costs and revenues to one department so process costing is used to continuously calculate that how much cost is incurred in which department so that the revenues and responsibilities are also allocated to those departments accordingly.
Job costing or as some may know it, Job order costing is fundamental to managerial accounting. It differs from Process costing in that flow of cost is tracked by job but not a process. The main difference is that Job costing is in the nature of jobs/work and process costing in a process.
what is the purpose of process costing?
outline the characteristics and purpose of: Job costing and process costing
Process Costing
A job order costing system would be more appropriate than a process costing system for manufacturers who use different types of goods throughout the manufacturing process. Process costing is best to you when manufacturing a large amount of the same items.
Job costing or as some may know it, Job order costing is fundamental to managerial accounting. It differs from Process costing in that flow of cost is tracked by job but not a process. The main difference is that Job costing is in the nature of jobs/work and process costing in a process.
what is the purpose of process costing?
outline the characteristics and purpose of: Job costing and process costing
a job costing
Process Costing
process costing
Job Order Costing Operation Costing Normal Costing Actual Costing Standard Costing Kaizen Costing Target Cost
A job order costing system would be more appropriate than a process costing system for manufacturers who use different types of goods throughout the manufacturing process. Process costing is best to you when manufacturing a large amount of the same items.
Job order costing is more appropriate than process costing when the product being produced is a custom product
I have no clue, please help
process costin and target costing
to undersrand