Costs Accumulations

Cost accumulation is a group of costs in a prearranged manner by means of a cost accounting system. There are two main techniques of cost accumulation: job order and process costing. Beneath a job order system, the three essential essentials of industrialized costs-direct resources, direct labor, and factory overhead-are accumulated according to allocated job numbers. Beneath a procedure cost system, industrialized costs are accumulated according to processing department or cost center.