Discuss job order cost accounting

Discuss job order cost accounting

Which type of cost system, process or job order,
would be best suited for each of the following: (a)
TV assembler, (b) building contractor, (c) automo-
bile repair shop, (d) paper manufacturer, (e) custom
jewelry manufacturer? Give reasons for your answers.
2. In job order cost accounting, the three elements
of manufacturing cost are charged directly to job
orders. Why is it not necessary to charge manufac-
turing costs in process cost accounting to job orders?
3. In a job order cost system, direct labor and factory
overhead applied are debited to individual jobs.
How are these items treated in a process cost system
and why?
4. Why is the cost per equivalent unit often determined
separately for direct materials and conversion costs?

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