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Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA MA – FIA FMA › Job costing
Which one of the following firms is most likely to use a system of job costing?
A. A company that manufactures motor cars on a production line
B A telephone company that provides mobile telecommunications services
C chemical manufacturer that produces processed chemicals
D. A company that installs elevators in office buildings
I am hesitating between B and D but im not sure which one? Can you explain to me please?
The answer is D because each installation is going to be different (building are different heights for example) and so each job will be costed separately.
A mobile phone company is providing the same service to everyone.