Chapter 2 Job Order Costing Learning Objectives After studying this chapter‚ you should be able to: [1] Explain the characteristics and purposes of cost accounting. [2] Describe the flow of costs in a job order cost system. [3] Explain the nature and importance of a job cost sheet. [4] Indicate how the predetermined overhead rate is determined and used. [5] Prepare entries for jobs completed and sold. [6] Distinguish between under- and overapplied manufacturing overhead. 2-1 Preview of Chapter
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Activity Based Costing Accounting 2020 Professor Richard McDermot Traditional Costing Systems • Product Costs – Direct labor – Direct materials – Factory Overhead • Period Costs – Administrative expense – Sales expense Appear on the income statement when goods are sold‚ prior to that time they are stored on the balance sheet as inventory. Appear on the income statement in the period incurred. Traditional Costing Systems • Product Costs – Direct labor – Direct materials – Factory Overhead •
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What amounts of corn syrup and sugar make a marshmallow less dense? What’s the problem? What amounts of corn syrup and sugar make a marshmallow less dense? What’s the hypothesis? I am thinking if I mix half a cup of sugar‚ and one third of a cup of corn syrup‚ then that amount of ingredients will make the marshmallow less dense‚ since it is less amounts of corn syrup and sugar. I believe these amounts will make a marshmallow less dense because according to my research‚ the density of corn syrup
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nothing that their moms and dads can do for them. With the help from Gleaners Food Bank the families that are in need can come and shop in the pantry for whatever food or household products that they are in need for. Families go to Gleaners for all different reasons. Having money issues of being less fortunate than other families isn’t always the case. The workers and volunteers come across and experienced many different people and situations that have been very eye opening to every single one
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Costing Methods Paper In 1983 a former Pittsburg Steelers’ Player Franco Harris formed a company called Super Bakery Inc. the company’s management had a very rough start because they monitored and followed practices in the industry too closely. Tracking and following the company’s practices hurt the growth of the industry and customers were not satisfied with performance Franco Harris and his staff needed to create strategies that will help the company improve customer’s satisfaction at the same
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supply market. 4. Materials have always been vital in the history of industrial growth. 5. In the history of power source relationships‚ percentage wise‚ labor costs went down while materials costs went up. 6. Supply management plays a major role in improving the “bottom line” by driving sales up and costs down. 7. Generally speaking‚ firms with the fasted time to market with new products by using cross functional teams including suppliers‚ enjoy higher profits. 8. Some 75% of
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graduates usually receive higher salaries for similar jobs than those without a college degree. We can not deny that higher level of education‚ indeed‚ do associate with better income. Still‚ build on such fact alone‚ the conclusion remains questionable when more aspects are taken into consideration. The whole argument in question rests on an assumption that it is always the case that people with higher education make more money than those less well-educated. But salary or income is‚ in most cases‚
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Process Costing - The Hershey Company/ Kaiser Aluminum Process costing is used mostly in companies when converting raw materials into homogenous products. A single product is produced on a continuous basis and all units of the product are identical. Costs are computed by department where the materials‚ labor‚ or overhead costs are added to the product in the processing department. Our two companies‚ The Hershey Company and Kaiser Aluminum‚ convert raw materials to their finished products of chocolate
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Hogle Company – Job Order Costing Example Hogle Company is a manufacturing firm that uses job-order costing. On January 1‚ the beginning of its fiscal year‚ the company’s inventory balances were as follows: Raw materials $20‚000 Work in process 15‚000 Finished goods 30‚000 Prepaid Insurance 10‚000 The company applies overhead cost to jobs on the basis of machine-hours worked. For the current year‚ the company estimated that it would work 75‚000 machine hours and incur $450
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expenses 200‚000 The cost for desktop deliveries $450‚000 ¡Ò 6‚000 hrs (1‚500hr ¡Ñ 4) ¡Ò 6‚000 $ 75 2. The cost and profitability of the five orders‚ using the cost driver information and its existing costing system: (1) The ABC system: Order 1 2 3 4 5 Sales $610.00 $ 634.00 $6‚100.00 $6‚340.00 $6‚100.00 Cost of goods sold 500.00 500.00 5‚000.00 5‚000.00 5‚000.00 Gross margin $110.00 $ 134.00 $1‚100.00 $1‚340.00 $1‚100.00 Cost of : entering
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