Job Costing

Question 1

Jobs

Answer 1

Also known as projects. These are used to signify the identification for where the work is being completed.

Question 2

Sub jobs, phases, extras, & child jobs.

Answer 2

These are nestled under the main jobs/projects. Some companies do not use child jobs at all and some use them heavily. There is no limit to how many or how few of these can be setup per job.​

Question 3

Cost Codes

Answer 3

Specific types of work being done on a project. There are job specific cost codes and standard cost codes​

Question 4

Job specific cost codes

Answer 4

cost codes setup/budgeted individually for each job/child job. The set of job specific cost codes will likely be different for each job a company has.​

Question 5

Standard cost codes

Answer 5

unlike job specific cost codes, standard cost codes pull from a list/template in the customer’s accounting system. If the customer elects to use standard cost codes, they will see the selected list of them for each job regardless of what cost codes were actually budgeted for that cost code.

Question 6

Categories

Answer 6

Also known as cost types. General types of work being done on a cost code (labor, materials, equipment overhead, etc.)