List the advantages of Job Costing.
CA Intermediate · Cost and Management Accounting · PYQS · September 2025
List the advantages of Job Costing.
Suggested Answer and Working Notes:
Some of the advantages of Job costing are summarised as below: 1. The details of Cost of material, labour and overhead for all job is available to control. 2. Profitability of each job can be derived. 3. It facilitates production planning. 4. Budgetary control and Standard Costing can be applied in job costing. 5. Spoilage and defective can be identified and responsibilities can be fixed accordingly.
Topics: Standard Costing, Budgets and Budgetary Control
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