صفحه 1:
Cost Accounting
Foundations and
ٌ Evolutions
Kinney, Prather, Raiborn
Chapter 4
Job Order Costing
0 000 7
صفحه 2:
* Contrast the job order and process
Colosimo ten RENTS
valuation methods
* Define what the term ‘job’ means:
¢ Explain the purpose of the
documents used in a job order
costing system
صفحه 3:
* List the journal entries used to
accumulate costs in a job order
costing system
* Identify how technology impacts.
the gathering and use of
information in job order costing
systems
صفحه 4:
* Explain how standard costs are
used in a job order costing system
* Describe how job order costing
information supports management
decision making
۰ Explain how losses are treated ina
job order costing system
صفحه 5:
ie.
۰
Job Order 00:
8 Process
on ۳2211 ۳ 0 Large
١ و بو quantities
ae 0 * Homogeneous
tailor-made goods
products ۰ Tracks costs by
* User-specific se oom Lee
services by department
٠ Tracks costs
by job
صفحه 6:
ie.
۰
5
¢ Ajob is a single unit or group of
units identifiable as being produced
to distinct customer specifications
* Ajob can be a
- Client
- Engagement
- Project
- Contract
صفحه 7:
۹
۰
5
* Cost Accumulation System defines
- cost object
- method of assigning costs to
production
* Valuation Method specifies
- how product costs will be measured
صفحه 8:
OSTING SYSTE
Job Order Process
* Actual * Actual
* Normal ° Normal
* Standard * Standard
2 ات ۱-3
صفحه 9:
ie.
۰
5
* Each job is a cost object
* Costs are accumulated for each
job
* A job can consist of one or more
units of output
* There is a subsidiary ledger for
each job
صفحه 10:
en a ag اك
سمت 02100 _ © an rs
۱۳ 300 0 ۹"
Job 2 20
0۳
Total 800
2 الاك = 9 طامل + © طول + 0 تاصل
صفحه 11:
* Tracks who is responsible for
materials
* Verifies flow of materials from
warehouse to department to job
صفحه 12:
ie.
۰
5
* All financial information about a job
- direct material (from material requisition)
- direct labor (from time sheets or labor
tickets)
- applied overhead
- budgeted cost information
* When job is complete, use job order
cost sheet to analyze actual costs to
budgeted costs
صفحه 13:
* Time worked on each job
صفحه 14:
ie.
۰
5
ی
* Automate data collection and data
9
* Accounting software includes job
costing modules
* Share information using intranet
صفحه 15:
ie.
۰
5
Restricted network for sharing
information and delivering data
from corporate databases to local-
area network (LAN) desktops
صفحه 16:
ie.
۰
5
* Actual cost
* Normal cost
۰ ۹0270 0۲
- Predetermined norms (or standards)
for materials, labor, and overhead
- Compare actual costs to standard
CoLoXy REMC NUiKyacy NOM ECM TarVoeo
صفحه 17:
* Estimate future job costs
* Establish realistic bids and selling
prices
* Develop budgets and standards
* Compare actual costs to estimated
costs
* Determine which jobs are profitable
° Manage inventory
صفحه 18:
° Shrinkage
- Evaporation
ee cel Te
- Oxidation
¢ Production errors
- Defects can be economically reworked
- Spoilage cannot be economically
سفنت
صفحه 19:
ie.
۰
5
* Normal Loss - expected during
production
¢ Abnormal Loss - exceeds that
expected during production
صفحه 20:
صفحه 21:
ie.
۰
5
* What is the difference between job
order and process costing systems?
* How do actual, normal, and
standard costing valuation methods
differ? ۳
* How is the job order cost sheet
used?