Job order costing
This type of costing is used for diverse products and services.
What is job order costing?
Used for mass production of similar products.
What is process costing?
This describes material not yet entered into production.
What are raw materials?
This type of accounting is controlled by Generally Accepted Accounting Principles
What is financial accounting?
What is activity based costing?
This is the document where all costs for a job are recorded.
What is a job cost sheet?
This is another term for direct labor and overhead.
What are conversion costs?
The 3 types of product cost.
What is direct material, direct labor and factory overhead?
This type of accounting is primarily for internal users.
What is managerial accounting?
This type of overhead costing system calculates only 1 overhead rate.
What is the plantwide overhead rate method?
The account that is adjusted for under or over applied overhead
What is Cost of goods sold?
This is the percentage completed when materials are added at the beginning of the process.
What is 100%?
These are completed products ready for sale.
What are finished goods?
Tires, seats, and steering wheels are types of this for a car manufacturer
What is direct material?
The weakness of this method is that it does not comply with generally accepted accounting principles.
What is activity based costing?
Estimated overhead costs divided by estimated activity base.
What is the predetermined overhead rate?
These are the units to account for.
What are beginning work in process plus units started for the period?
This statement summarizes the types and costs incurred in a company's manufacturing process.
What is Schedule of Cost of Goods Manufactured?
The type of company that buys and sells goods without physically changing them.
What is a merchandiser?
This is a group of costs related to the same activity.
What is activity cost pool?
Actual overhead > Applied overhead
What is underapplied overhead?
This is how costs are summarized in process costing.
What is by department?
This describes the inventory of a manufacturer.
What is raw material, work in process, and finished goods?
These are costs of staff support and office functions.
What are general and administrative expenses?
The four types of activities that cause overhead costs.
What is unit level, batch level, product level, and facility level?