ECONOMICS

Detailed explanation-1: -Companies in the white-collar sector of business, including law firms, accounting businesses, and private investment companies, can utilize job order costing to manage individual client accounts. For example, accounting firms can consider each individual client a job.

Detailed explanation-2: -For example: Say a customer bought shoes personalized with their name written on the sides and shoelaces made of cotton, rather a basic nylon material. Since this order is unique, a business would use job order costing to create a unique price to charge the customer for their custom-made shoe.

Detailed explanation-3: -Job order costing is also used for service businesses where the service and costs are unique to each customer, such as those of an attorney, accountant, physician, or event planner. Each customer, client, or patient is a separate job or project.

Detailed explanation-4: -Companies in the white collar sector of business, including law firms, accounting businesses and private investment companies, can utilize job order costing to manage individual client accounts. For example, accounting firms can consider each individual client a job.