Job Costing, Process Costing, or Operation Costing?

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Read the article called process costing in…

The author states that accountants and prospective accountants who study cost accounting are taught that there are only two systems: job costing or process costing. He goes on to mention that there is a third that should be taught, which is operation costing. As you read, consider the following questions: What is operation costing? How is it similar to job and process costing? How is it different?


Once you have read these articles, address the following in your initial post:

Choose a local contractor or manufacturer in your community and suggest which costing system would be most appropriate for the company.

Explain why the costing system you chose is the best option. Support with specific examples, where applicable.

When responding to two of your peers, identify strengths and/or weaknesses in their suggestion for the local company they have chosen. Suggest an alternative costing system, if appropriate.

Refer to the Discussion Rubric (ATTACHED) for directions on completing these discussions.

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