Chapter 6 Flashcards
Wide Variety of Products
Cost Accumulated by the Job
Computed by Dividing total job costs by united produced on that job
Job Order Costing
Homogenous products
Costs accumulated by process or department
Computed by Dividing process costs by units produced in that period
Process Costing
Job Order Costing uses a single work in process ACCT. T/F?
True
Cost transferred from a prior process to a subsequent process; the last process then transfers costs to Finished Goods
Transferred-In Cost
Document that summarizes the manufacturing activity that takes place in a process department for a given period of time
Production Report
Measure the manufacturing costs for a process department for a given period of time and then measure the output of the process department
Unit Costs
If successful, inventories are minima
Just in time Manufacturing Firms
assigning overhead by shared processes
Role of Activity Based Costing
Complete units that could have been produced given the total amount of productive effort expended for the period under consideration.
Equivalent units of Output
Equivalent units and manufacturing costs in beginning work in process are excluded from the current period unit cost calculation.
Fifo Method
does not track prior period output and costs seperatelu from current period output and costs. Treats beginning inventory costs and output as if they belong to the current period
Weighted Average Costing Method
Some dpts receive partially completed goods from prior departments in process manufacturing
Transferred-in Costs
Blend of job order and process costing procedures applied to batches of homogenous products
Operation Costing
Used to collect production costs for each batch
Collected by process and assigned to products using a predetermined conversion rate
Embedded in the total cost of the good units
Normal Spoilage
