Question

Job-order costs are most useful for

A. Controlling indirect costs of future production.
B. Estimating the overhead costs included in transfer prices.
C. Determining inventory valuation using LIFO.
D. Determining the cost of a specific project.

Answer 1

Option D is correct

Step-by-step explanation:

It is useful in determining the cost of project because it is useful in tracking activities pertaining to the project which includes cost of different aspects of project(material invoice, transportation cost), time of completion, cost of labour etc., summary of total cost.