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Hello, I'm new to the forums.

Need to ask a question.

CPU's made by Intel, are they recorded as a job costing system or a process costing system.

Your help is much appreciated, thanks.
Dear

Process costing is typically used where production costs cannot be identified separately and allocated for/on individual production units. For example manufacturing of textile products, sugar, cement so forth and so on.

If this can be done, job order costing may be used. Examples could be air crafts, cars, plants, machines so forth and so on.

Goods produced in bulk and goods produced in specific numbers or against specific order may also be a decision making factor regarding the costing method to be used. The cost of a given product units may also be a factor.

If CPUs are produced in bulk without individual identification, or without having a specific order, PROCESS costing may be used to save resources being utilized in terms of time and effort.

However, if some one wishes and his cost benefit analysis allows him, the more appropriate costing method for CPUs should be job order costing.

Nevertheless, to me it appears that applying job order costing may require more inputs and efforts than the benefits of expected output.

I would say job order is more suitable but will also require more inputs which may not allow to follow it.

Regrads,


Kamran.
<blockquote id="quote"><font size="1" face="Verdana, Arial, Helvetica, san" id="quote">quote<hr height="1" noshade id="quote"><i>Originally posted by CyberTroop</i>
<br />Hello, I'm new to the forums.

Need to ask a question.

CPU's made by Intel, are they recorded as a job costing system or a process costing system.

Your help is much appreciated, thanks.
<hr height="1" noshade id="quote"></font id="quote"></blockquote id="quote">

A Product Costing System is…

A management tool that identifies the actual cost of producing each product. Identifying profit or loss on each product, companies can identify and promote profitable products
<blockquote id="quote"><font size="1" face="Verdana, Arial, Helvetica, san" id="quote">quote<hr height="1" noshade id="quote"><i>Originally posted by CyberTroop</i>
<br />Hello, I'm new to the forums.

Need to ask a question.

CPU's made by Intel, are they recorded as a job costing system or a process costing system.

Your help is much appreciated, thanks.
<hr height="1" noshade id="quote"></font id="quote"></blockquote id="quote">

in my opinion they use job order costing b/c

products are identical
orders to Intel are placed first than they procced....