Final answer:
In accounting, the accumulated costs of incomplete jobs are represented by work-in-progress (WIP) accounts. These accounts track the costs incurred on partially completed projects or jobs.
Step-by-step explanation:
In accounting, the accounts that represents the accumulated costs of incomplete jobs are called work-in-progress (WIP) accounts. These accounts are used in the cost accounting system to track the costs incurred on partially completed projects or jobs. WIP accounts provide a way to measure the value of work done on incomplete jobs and the costs yet to be allocated.
For example, let's say a construction company is working on multiple projects simultaneously. Each project will have its own WIP account that accumulates the costs incurred for labor, materials, and overhead expenses. At the end of each accounting period, the WIP accounts are adjusted to reflect the current status of the incomplete jobs.
By maintaining WIP accounts, businesses can monitor the costs associated with ongoing projects and calculate the percentage of completion. This information is crucial for accurate financial reporting and decision-making.