Question
Edward is opening a pest control business and has decided to use their home office to run the business out of and rent a storage
Edward is opening a pest control business and has decided to use their home office to run the business out of and rent a storage space for their equipment and materials. Each customers job pricing would be different based on the needs and seriousness of their infestation that would not be known until the actual job is performed. Edward needs to decide the costing system they should use and why.
A) Normal would be best for Edward so they can provide their customers with pricing prior to the job.
B) Normal costing because it is more widely used and actual cost is not as common.
C) Actual costing because Edward would provide the customer with the bill upon completion of the job when all costs are known.
D) Edward can choose normal for now and will change later if it does not work for their business.
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