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One of your work colleagues has recently completed a management accounting course in full costing. As part of the course he learnt about (process costing
One of your work colleagues has recently completed a management accounting course in full costing. As part of the course he learnt about (process costing and job costing but is still unclear about the differences between the two approaches and their areas of application. You are required to explain these to him in your own words. (b) In addition, your work colleague has the following question: "What is the point of splitting costs into direct and indirect for job costing purposes? Why cant we just simply aggregate all the costs of the business or alternatively split costs into fixed and variable and use this cost classification when costing jobs?" How would you answer this
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