Which of the following situations best applies to an organization that uses a project, rather than a process, to accomplish its business activities?
Which of the following situations best applies to an organization that uses a project, rather than a process, to accomplish its business activities?
A project is typically a temporary and unique endeavor with a specific objective, start, and end date. A commercial construction company building a warehouse fits this definition because it involves a temporary effort with a defined beginning and end, aimed at creating a specific result—a completed warehouse. Other options involve ongoing, repetitive processes or operations without the same degree of temporariness and specificity.
Is it B because the building of a warehouse is a temporary endeavor (e.g.: a PROJECT)? I'm just wondering why it's not A.
A is process costing, B is job costing, B is correct