Know Better about Job-Costing and Process-Costing Systems with Us

Before looking at accounting from a broad perspective or as a cluster of subjects and also before differentiating between its parts, first, a student must understand each of them well enough. Only then can he or she see the larger picture of this subject properly. If you believe that you are quite weak after seeing this picture, then our job-costing and process-costing systems homework help welcome you.

What is “job” and “process costing”? Job costing or accounting is primarily defined as the method of evaluating pricing of a certain job of a firm, like a manufacture, project, etc. and determining the selling prices accordingly to make a business profitable. The latter one deals mainly with manufacturing only. It determines the average cost prices of each unit of a month’s time period or so. If you want authentic definition, our job-costing and process-costing systems assignment help have the answers.

Difference between the two                                                                                   

Job order accounting is more vast and diverse than process cost methods. Hence, if we are to distinguish between them, we have to bring them down to the same level, i.e. manufacturing.The former deals with calculation of exact costs in each unit of manufacture, whereas the latter aims at finding a more average cost of production units based on the total costs of manufacturing all. Before taking any job-costing and process-costing systems homework help from us, understand this.

Process accounting is indispensable for manufacturing of homogeneous or mixture products, e.g. electricity, gas, petrol, etc. which cannot be produced by each unit.Dividing the total cost by a number of units produced gives the average unit costs and helps to determine profitability. However, if the product is countable, like furniture, vehicles, gadgets, etc. then exact unit cost is determinable, and that is where job accounting comes into play. The other key differences between these two fields are:

  1. Job accounting is mainly popular in small scale production houses. Whereas, for large scale productions, process accounting is simpler to use.
  2. It is much easier to keep the records of a process accounting than that of a job, because of the fewer amounts of aggregate data.
  3. However, billing for each individual customer becomes a lot less work in case of job order accounting, but not so in case of the other one.

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