Job Costing Flashcards
“jobs” refer to…
individual products or batches of products for a specific customer
job costing is used to..
produce jobs according to cutstomer specification
a “cost sheet” is done for…
each product
what documents are used for DM? what are the used for?
materials requisition form or bill of materials; used to document the movement of materials from material warehouse to production line
what document is used for DL? why is it used?
time ticket; employees to track time used on each product
MOH allocated to each job =
pre-determined MOH rate x actual activity to produce job
MOH is an ______ cost
indirect
total cost of job =
DM + DL + overhead
total cost per unit =
total cost of the job / total units in the job
for service companies, job costing is used to…
primarily track labor hours spent and misc. materials
