Channel: Edspira

Category: Education

Tags: job-order cost systemmanagerial accountingmanagement accountingjob order costing systemjob order costingjob order cost accountingjob order cost systemcost accountingjob costingapplying manufacturing overheadedspirajob order cost system explained

Description: Today’s topic is Job Costing, aka Job-order Costing. A job-order cost system is used by companies that make small numbers of distinct products. To calculate the cost of making a bib, you would first create a job cost sheet. This is just a document that lists all the costs of the job. Next, you would assign costs to the job as it moves through the production process. You add the cost of: • Direct materials used • Direct labor • Manufacturing overhead 0:00 Introduction 0:38 How to calculate the cost per unit for a job 0:48 Why assign costs to jobs? 0:59 Job costing vs. process costing 1:43 Example of job order costing 3:57 What happens if applied MOH differs from actual MOH? 5:13 Can service providers use job costing? — Edspira is the creation of Michael McLaughlin, an award-winning professor who went from teenage homelessness to a PhD. Edspira’s mission is to make a high-quality business education accessible to all people. — SUBSCRIBE FOR A FREE 53-PAGE GUIDE TO THE FINANCIAL STATEMENTS, PLUS: • A 23-PAGE GUIDE TO MANAGERIAL ACCOUNTING • A 44-PAGE GUIDE TO U.S. TAXATION • A 75-PAGE GUIDE TO FINANCIAL STATEMENT ANALYSIS • MANY MORE FREE PDF GUIDES * eepurl.com/dIaa5z — GET CERTIFIED IN FINANCIAL STATEMENT ANALYSIS, IFRS 16, AND ASSET-LIABILITY MANAGEMENT * edspira.thinkific.com — LISTEN TO THE SCHEME PODCAST * Apple Podcasts: podcasts.apple.com/us/podcast/scheme/id1522352725 * Spotify: open.spotify.com/show/4WaNTqVFxISHlgcSWNT1kc * Website: edspira.com/podcast-2 — GET TAX TIPS ON TIKTOK * tiktok.com/@prof_mclaughlin — ACCESS INDEX OF VIDEOS * edspira.com/index — CONNECT WITH EDSPIRA * Facebook: facebook.com/Edspira * Instagram: instagram.com/edspiradotcom * LinkedIn: linkedin.com/company/edspira — CONNECT WITH MICHAEL * Twitter: twitter.com/Prof_McLaughlin * LinkedIn: linkedin.com/in/prof-michael-mclaughlin — ABOUT EDSPIRA AND ITS CREATOR * edspira.com/about