Accounting Discussion

Part 1: 1 paragraph needed with reference and citations

Welcome to our Week 2 Discussions! Let's begin by discussing when job order costing systems would be more effective than a process costing system. Please give examples of types of businesses in which each would be appropriate. Do these costing systems apply only to manufacturing? Why aren't actual overhead costs traced to jobs just as direct materials and direct labor costs are traced to jobs?

Part 2: 1 paragraph needed

Go to pages 170 and 171 and read Case 4-20, Ethics and the Manager: Understanding the Impact of Percentage Completion on Profit. Based on the case, do you think Gary Stevens wants the estimated percentage completion to be increased or decreased? Please explain why.