Sony

Definition

Sony is a multinational conglomerate corporation specializing in electronics, gaming, entertainment, and financial services. Known for its innovative product lines and diverse business units, Sony operates in both manufacturing and non-manufacturing environments.

5 Must Know Facts For Your Next Test

1. Sony uses job order costing to track expenses for its various divisions such as gaming and entertainment.
2. In nonmanufacturing environments like Sony's entertainment division, job order costing helps allocate costs to specific projects like movie production.
3. Job order costing at Sony can include direct costs such as salaries of game developers or actors.
4. Indirect costs like administrative expenses are also allocated using job order costing methods at Sony.
5. Sony's financial services sector employs job order costing to manage individual client accounts and tailor financial products.

Review Questions

• How does Sony apply job order costing in its nonmanufacturing sectors?
• What types of costs are tracked using job order costing in Sony’s entertainment division?
• Why is job order costing useful for Sony's financial services?

Related terms

Direct Costs:

Costs that can be directly traced to a specific job or project.

Indirect Costs:

General business expenses that cannot be directly linked to a specific job or project.

Cost Allocation:

The process of assigning indirect costs to different jobs or projects.