Question

Title of the case: Would R.S. Owens, the manufacturer of Oscar statues, use job costing or process costing?

The Academy Awards is an annual American awards ceremony honoring achievements in the film industry. Winners receive a statue officially named the “Academy Award of Merit.” However, these statues are much better known by the nickname of “Oscars.” Each Oscar statue weighs 8.5 pounds and takes three to four weeks to manufacture. The statues have been manufactured by R.S. Owens, a company in Chicago, for over 70 years. R.S. Owens also makes the Emmy Award trophies and other awards. Watch this CNN video to see how an Oscar statue is made.

Link for video:

http://money.cnn.com/video/news/2014/02/28/how-an-oscar-is-made.cnnmoney/index.html

Question (please answer in details)

Would R.S. Owens use job costing or process costing for its Oscar production? Why?



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