Explain three differences between job costing and process costing
| Job costing | Process costing |
| -Suitable where distinctive product/service is manufactured. | -Is suitable where units of products are indistinguishable from each other. |
| -Used where organisations produce products that are tailored to individual customer’s requirements. | -Used where organisations produce large amounts of identical units which pass through a number of processes. |
| -Costs such as materials and labour can be easily traced to individual products. | -It is not possible to trace costs to individual units of products. |