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Specific Order Costing
This is a broad costing system that is applicable where work jobs consist of separate jobs, batches or contracts. Every job or contract or batch is a cost unit and in most cases, it is different from another. Every order made can be recognized separately and the system is designed to find the cost of each order. Exact order costing is subdivided into as:
1. Batch costing
2. Job costing
3. Contract costing
Under the average cost method the average cost of goods held in stock is recalculated after each receipt. An issue after the receipts is made at the recalculated average prices. A
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cost accounting exam
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