Question

The job order cost system for a service business includes all of the following except:

a. materials inventory.
b. overhead.
c. work in process.

Answer 1

Option "A" is the correct answer to the following question.

Materials inventory.

Step-by-step explanation:

Inventory of materials is the estimated cost of all individual components already in storage that have not yet been used during the manufacture of work-in-process or manufactured goods.

job order costing is a method for assigning and recording manufacturing costs to a particular product device. The costing method for work orders is used when the different items generated are substantially different from and each has a considerable cost.

Therefore Option A is the correct answer to the following.