Part 3 (Definition, JCost Sheet, Major Source Documents) Flashcards
it keeps the costs of various jobs or contracts separate during their manufacture or construction.
The job order cost procedure
job order work in factories, workshops, and repair shops as well as to work by builders, construction engineers. shipbuilders. and printers are applicable in this method of costing
job order costing method
The ________ is the job, the work order, or the contract; and the _______ will show the cost of each.
cost unit
records
The method presupposes the possibility of physically identifying the jobs produced and of charging each with its own cost.
Job order costing method
A variation of the job order cost method is that of costing orders by _____.
lots
_____ is the quantity of product that can conveniently and economically be produced. For example. in the shoe manufacturing industry, a contract is divided into lots, each lot being from 100 to 250 pairs of one size and style of shoe. The costs are then accumulated for each ____.
lot
In job order costing. each job is an accounting unit to which materials, labor, and factory overhead costs are assigned by means of _________________.
job order numbers
The cost of each order produced for a given customer or the cost of each lot to be placed in stock is recorded on a summary sheet called a
job order cost sheet, or merely a cost sheet.
This mater sheet is designed to collect the costs of materials, labor, and 000 factory overhead applicable to a specific job.
Job order cost sheet/cost sheet
Cost sheets differ in form, content, and arrangement in each business. In each for:
- the upper section provides space for- ?
- The main portion shows- ?
1.
- job number
-the name of the customer
- a description of the items to be produced
- the quantity
- the date started and the date completed
- the cost of materials, labor, and factory overhead applied in each department or cost center
Several jobs or orders (may or may not?) be going through a factory at the same time.
may
Each cost sheet is given a _________ which is placed on each material requisition and labor time ticket used in connection with the job.
job number
These forms used for materials and labor, numbered for the job to which they apply, are totaled ______ (how in time?) and entered on the cost sheets. The cost sheet eventually becomes a ___________, including factory overhead, involved in completing a job.
daily or weekly
The cost sheets are _________ (what kind of records) records and are controlled by the ________ account.
subsidiary
work in process
Jobs performed on the basis of customer specifications (allow or does not allow) the compuation of a profit or loss on each order.
allow
If jobs constitute production of a specific quantity for inventory, job order costing permits computation of a _______ for inventory costing purposes.
unit cost
MAJOR SOURCE DOCUMENTS FOR JOB ORDER COSTING
- JOB-ORDER COST SHEET
- MATERIALS STOCKCARD
- FINISHED GOODS STOCKCARD
- FACTORY OVERHEAD CONTROL COST RECORD
- MATERIALS REQUISITION, TIME TICKET AND CLOCK CARD
a. Thesé records accumulate product costs of specific units or small batches of units for both product costing and control purposes.
JOB-ORDER COST SHEET
serves as a perpetual book inventory and the subsidiary ledger for Work in Process Control.
file of job-order sheets for uncompleted jobs
A separate cost sheet is prepared for each job.
true or false?
true
These records are the perpetual book inventory of costs and quantities of materials on hand.
MATERIALS STOCKCARD
The file of materials stock cards for unused materials is the ?.
subsidiary ledger for Materials Control
In material stockcard, a separate stock card is prepared for each type of _________.
material on hand
These records are the perpetual book inventory of costs and quantities of completed goods held for sale.
FINISHED GOODS STOCKCARD
The file of finished goods stock cards for unsold goods is the ________________?
subsidiary ledger of Finished Goods Control.
These records accumulate detailed manufacturing overhead costs by department.
FACTORY OVERHEAD CONTROL COST RECORD
The file of these FOH-C cost records for the accounting period is the ____________?
subsidiary ledger for Factory Overhead Control.
a. As the source documents for charging costs to jobs and department.
b. To aid in fixing responsibility for control and usage of materials and labor.
MATERIALS REQUISITION, TIME TICKET AND CLOCK CARD
