Use Exhibit 5- 1 to help you describe in your own words the major difference in the flow of costs between a job costing system and a process costing system.

Exhibit 5-1

Transcribed Image Text:

PANELA JOB COSTING Life Fitness Costs Directmatsrials Direct laber Cost of gands sold Job 101 Joh 10 Rew Msterials invanbry Wages Payable Manufac uring Overhead Firishad Goods Costof Goods Sold Work ih Process PANEL B-PROCESS COSTING Jelly Belly Cestors Direct materials Direct labot Shells Cost of Flaishod goode Packagiag ald Raw Materials Inventory Cost ot Goods Solt Work in PrOSWork in Process Work in Process Finshed 60ods Wages Paysble Shels