Which of the Following Differentiates Job Costing from Process Costing

question 127

Multiple Choice

Which of the following differentiates job costing from process costing?

• A) Job costing is used when each unit of output is identical, and process costing deals with unique products.
• B) Job costing is used when each unit of output is identical and not produced in batches, and process costing deals with unique products produced on large scale.
• C) Process costing is used when each unit of output is identical, and job costing deals with unique products not produced in batches.
• D) Job costing is used by manufacturing industries, and process costing is used by service industries.

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Definitions:

Agent

An individual or entity authorized to act on behalf of another person or entity in contractual or legal matters.

Liquidation

The process of bringing a business to an end and distributing its assets to claimants, often in the context of bankruptcy.

Corporate Assets

Items of value owned by a corporation, including physical items as well as intangible rights and resources.

Distributed

The process or state of spreading or dispersing something more widely.