Hello sir,
How do we identify if the business is using Unit, Job or Batch costing? Like a brick manufactures ll use batch costing but what about Co.s Manufacturing Fizzy drinks? do they go with Batch costing aswell?
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Unit, Job and Batch Costing
9y ago#1They will almost certainly be using batch costing, but that is not for you to decide if it is a calculation question. If it is a calculation question, then the exam question will make it clear.
In a non-calculation question, you could only be asked 'what is the most likely' (because there are no rules - it is up to the company to decide how they want to do their costings). In that case, however, the most likely would certainly be batch costing.
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