My equation costs more than yours
This is what B represented in the cost formula.
What is variable costs?
The difference between these costs are if it is easily tracible to the product.
What are direct vs. indirect?
This is another name for manufacturing overhead.
These are the three costs associated with any product.
What are Direct Materials, Direct Labor & Manufacturing Overhead?
These are the three costs associated with any product.
What are Direct Materials, Direct Labor & Manufacturing Overhead?
This is what A represents in the cost formula.
What is fixed costs?
The difference between these costs are the location where they occur, manufacturing plant or office building.
What are product vs. period costs?
This is the formula for finding the predetermined overhead allocation rate.
What is total budgeted overhead / total budgeted driver?
A company making custom guitars would use this cost accounting system.
What is job order costing?
A company mass producing products would use this cost accounting system.
What is a process costing system?
This is what X represents in the cost formula.
What is number of units?
The difference in these costs are if they vary according to production or remain the same.
What are fixed vs. variable costs?
These costs actually go into the Work-in-Process account?
What are applied manufacturing overhead costs.
A document that shows the direct materials, direct labor, and manufacturing overhead costs for an individual job
What is a job cost sheet/record?
The costs incurred by each process are found in this report for each department.
What is a production cost report?
This is what Y represents in the cost formula.
What are total costs?
Direct labor is contained in both of these costs.
What is prime and conversion costs?
These cost will never go into the Work-in-Process account.
What are actual manufacturing overheads?
When the company begins a job, the costs are transferred to this account.
What is Work-In-Process?
When the company completes a product, the costs are transferred to this account.
What is finished goods?
This is the cost equation in full.
What is y = A + Bx?
This can be found by taking beginning finished goods + cost of goods manufactured - ending finished goods.
What is Cost of Goods Sold?
This is the amount applied to the predetermined overhead rate in step two.
What is the actual level of activity of the driver?
This document will identify only direct labor costs.
What is a timecard?
The production cost report shows the calculations for the flow of these two categories regarding the product.
What are physical flows and cash flows?