A Review of Literature on Hybrid Costing Systems S. M. Kaita 1 and F. P. C. Lim 1,2 1 School of Business, Charisma University Neptune CT, Grace Bay, Providenciales Turks and Caicos Islands 2 AMA University Panay Ave., Quezon City, Philippines limfrancispol19@gmail.com Abstract. The paper makes a vivid description of the accounting costing system that combines features of both the job order costing system and process costing system to come up with the Hybrid costing system, that is of benefit in manufacturing facilities that deals with batches of goods and material cost of the goods batches as it accounts on labor and all overhead costs at the work center as it also explains on the costs allocations following the kind of hybrid costing system. The paper goes further to explore on the types of costing systems giving clear crystal definitions and illustrations, as it states of their similarities and differences. Also, the advantages of the hybrid costing system are vividly explained in detail to give a better understanding of what best suits companies as well as the effective managerial ways to make decisions appertaining to the costing system to be chosen. Keywords: Accounting, Hybrid Costing System 1 Introduction In accordance with the business perspective, Hybrid Costing System or in other words operating costing system is considered a system of cost accounting that is inclusive of elements like Job costing and process costing. As for process costing this initially examines the cost of mass production of units that are identical and from the fact that the jobs are similar the costing system explores on each manufacturing step actual cost. On the other hand, as of job costing is employed in only products that are unique and custom produced at low volumes. For these reasons, upon any manufactured product then links it to either of the costing systems however sometimes it's never so. The reason is sometimes some products are produced in big numbers and still are put to order through customization. Therefore, in this case, the cost accountants use a system referred as The Hybrid system. The Hybrid costing system is of benefit to a facility of production that deals with products in groups and makes the cost incurred on materials to the group batch of products in the instance of an environment that's job costing. Similarly, it accumulates the expenses incurred in labor or overhead at an organization or level of work center as it also allocates the got costs at the degree of an individual unit as of this instance in an environ of process costing (Ibrahim, Mohamed, Washika, 940). Hybrid costing is mostly employed in states of processing of baseline products that are identical and in a person's adjustments created beyond Advanced Science and Technology Letters Vol.149 (ICASC 2018), pp.57-62 http://dx.doi.org/10.14257/astl.2018.149.13 ISSN: 2287-1233 ASTL Copyright © 2018 SERSC