Chapter 21 Flashcards
(14 cards)
a cost accounting system that focuses on the activities performed in manufacturing a specific product
activity-based costing
the sum of labor costs and overhead costs
conversion costs
any factor or activity that has a direct cause-effect relationship with the resources consumed
cost driver
a schedule that shows that the total costs accounted for equal the total costs to be accounted for
cost reconciliation schedule
a measure of the work done during the period, expressed in fully completed units
equivalent units of production
a processing system dedicated to producing the right products or parts as they are needed
just in time processing
a combination of a process cost and a job order cost system, in which products are manufactured primarily by standardized methods, with some customization
operations costing
actual units to be accounted for during a period, irrespective of any work performed
physical units
an accounting system used to apply costs to similar products that are mass-produced in a continuous fashion
process cost systems
an internal report for management that shows both production quantity and cost data for a production department
production cost report
the sum of the units (costs) transferred out during the period plus the units (costs) in process at the end of the period
total units (costs) accounted for
the sum of the units (costs) started (or transferred) into production during the period plus the units (costs) in process at the beginning of the period
total units (costs) to be accounted for
costs expressed in terms of equivalent units of production
unit production costs
method used to compute equivalent units of production which considers the degree of completion (weighting) of the units completed and transferred out and the ending work in process
weighted-average method
