Job Order Cost System for Service Companies


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question 1 of 3

What is a job order costing system?

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1. Which of the following choices is NOT an example of a service?

2. Why do service companies use different account names than manufacturing companies?

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About This Quiz & Worksheet

Job order costing is different for service companies and manufacturing companies. Use this worksheet/quiz assessment to determine how well you understand what qualifies as a service company, what job order costing systems are for these companies, and how they work.

Quiz & Worksheet Goals

This quiz/worksheet will assess your knowledge about:

  • What job order costing systems are
  • Characteristics of service companies
  • Account names used by service companies
  • Stipulations of service contracts regarding how to record specific costs

Skills Practiced

This assessment will also test your skills:

  • Information recall - access the knowledge you've gained regarding job order costing systems
  • Distinguishing differences - compare and contrast topics from the lesson, such as differences between service company accounts and manufacturing company accounts
  • Making connections - use your understanding of the concepts of job order costing and service contracts

Additional Learning

Along with this assessment you have the opportunity to review the following lesson: Job Order Cost Systems for Service Companies. After you've read the short lesson you will have a better understanding of:

  • The definition of a service job
  • How and why accounts differ for service companies and manufacturing companies
  • Examples of tracking costs in a service company