Final answer:
Dehner Corporation uses a job-order costing system. Job-order costing is a cost accounting system that assigns costs to specific individual jobs or projects.
Step-by-step explanation:
Dehner Corporation uses a job-order costing system. Job-order costing is a cost accounting system that assigns costs to specific individual jobs or projects. It is commonly used in industries such as manufacturing and construction where each job or project is unique and requires different resources and materials.
In a job-order costing system, costs are tracked and allocated to specific jobs by using job cost sheets. These cost sheets track the direct materials, direct labor, and overhead costs associated with each job or project. By allocating costs to specific jobs, companies can determine the actual cost of each job and make pricing decisions based on the costs incurred.
Job-order costing provides companies with a detailed understanding of the costs associated with each job or project, allowing for accurate pricing and financial analysis. It also helps companies monitor the profitability of individual jobs and make informed decisions regarding resource allocation and cost control.