Which of the Following Is Not a Reason a Service

question 78

Multiple Choice

Which of the following is not a reason a service firm would use a job order costing system?

• A) to help control costs
• B) to determine client billing
• C) to determine department costs within the firm
• D) to determine profit

---

Definitions:

Socially Optimal

A condition or output level where the social welfare is maximized, taking into account both the benefits to consumers and the costs to producers.

Marginal Benefit

The additional satisfaction or utility that an individual gains from consuming one more unit of a good or service.

Marginal Cost

The cost of producing one additional unit of a good or service, critical for decision-making on production and pricing.

Benefit of Abatement

This refers to the advantages or positive effects derived from reducing or eliminating negative environmental impacts or pollutants.