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Forums › FIA Forums › MA2 Managing Costs and Finance Forums › Costing methods
Question 1
Is batch costing customer-driven? Or a batch order by a customer is considered as job costing?
Question 2:
Please explain specific order costing and continuous operation costing. I am unable to get from book or any other source.
Q1 Batch costing could be job costing as the customer could order a batch of goods. Alternatively, it might not be and the company’s production methods mean that batches of items are inevitably produced rather than single items.
Q2 Specific order costing = job costing.
Continuous operation costing = process costing.
Thank you sir