Final answer:
The statement is true. Costs are measured by individual jobs in a job costing system, while they are measured by process stages in a process costing system.
Step-by-step explanation:
The statement 'true' is indeed correct. In a job costing system, costs are tracked for each individual job, which may be customized or unique in nature. This system is ideal for manufacturing or service environments where each project is different, such as construction firms, custom furniture makers, or professional services like legal or architecture firms.
In contrast, a process costing system is used when a company produces a continuous flow of units that are indistinguishable from each other, such as food, chemicals, or petroleum products. Costs are measured and accumulated for each process or stage of production rather than for individual jobs. In this system, it's not feasible to assign costs to individual units, so costs are averaged over the units produced during a period.