Question: RoboMakers Inc., which uses a process costing system for its robotics kits, has been tasked with a special order from a research institute to produce

RoboMakers Inc., which uses a process costing system for its robotics kits, has been tasked with a special order from a research institute to produce 4,000 robotics kits. Can RoboMakers Inc. implement a job-order costing system for this special order despite using a process costing system for its regular operations?

Requirement:

  1. Outline the differences between process costing and job-order costing.
  2. Evaluate the implications of using job-order costing for the special order.

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