Exercise 3-1 (10 minutes)
a. Process costing g. Job-order costing
b. Job-order costing h. Process costing*
c. Process costing i. Job-order costing
d. Process costing j. Process costing*
e. Process costing k. Job-order costing
f. Job-order costing l. Job-order costing
* Some of the companies listed might use either a job-order or a process
costing system, depending on how operations are carried out. For ex-
ample, a chemical manufacturer would typically operate with a process
costing system, but a job-order costing system might be used if prod-
ucts are manufactured in relatively small batches. The same thing might
be true of the tire manufacturing plant in item “j.”
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Solutions Manual, Chapter 3 69
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