A tax firm prepares a different return for every client and tracks costs client by client. It uses a:
AJobbing pool system
BJob order system
CJoint stock system
DJournal book system
Answer & Solution
Correct answer: B. Job order system
1. Each return is customised for one taxpayer.
2. Costs differ from client to client and can be traced that way.
3. The firm uses a job order system.
_Source: OpenStax Principles of Managerial Accounting, Chapter 4, Job Order Costing._
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