Please enable JavaScript.
Coggle requires JavaScript to display documents.
JOB- ORDER COSTING (THE FLOW OF COST (Material (Issue of material
Work…
JOB- ORDER COSTING
THE FLOW OF COST
Material
Issue of material
Work in process ......xxx ( Debit)
MOH .......................xxx( Debit)
.....Raw Materials ........xxx (Credit)
Labor Cost
Work in Process.....xxx ( Debit)
MOH.......................xxx (Debit)
..................Salaries and Wages Payable.......xxx(Credit)
-
-
Nonmanufacturing Cost
They are not assigned to individual jobs, rather they are expensed in the period incurred
BUSINESS APPLICATION
-
-
-
Ex: Contruction Company, Movie Production Company
AN OVERVIEW
-
Manufacturing Overhead :
-
An allocation base is a measure such as Direct Labor Hours, Machine hours, Direct Labor Dollars that is used to assign overhead costs to products and sevices.
The Predetermined overhead Rate (POHR) computed by dividing the total MOH cost for the period by the estimated total amount of the allocation base
-
After MOH are applied, it is recorded in Job Cost Sheet
Document
Job Cost Sheets: is a form prepared for a job that records material, labor, MOH cost charged to that job
-
Materials Requisition: The compay use Materials Requisition Form to record the type and quantity of material to be drawn from the store room
-
Work in process : Debited cost of direct material, direct labor, and manufacturing overhead applied; Credited cost of good manufacturing
-