Quản trị Kinh doanh - Chapter 19: Job order costing

Job Order CostingChapter 19PowerPoint Editor: Beth Kane, MBA, CPACopyright © 2015 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. 19-C1: Job Order Costing 2ProcessCostingJobCosting Used for production of large, unique, or  high-cost items. Built to order rather than mass produced. Many costs can be directly traced to each job.Cost Accounting Systems Chapter 20C 13Job Order ProductionC 14 Job Order Production ActivitiesC 15 19-C2: Job Cost Sheet 6Job Order Cost DocumentsThe primary document for tracking the costs associated with a given job is the job cost sheet.C 27Job Cost SheetC 28 19-P1: Materials Cost Flows and Documents 9Materials Ledger CardP 110Materials RequisitionP 111Materials RequisitionP 112NEED-TO-KNOWA manufacturing company purchased $1,200 of materials (on account) for use in production. The companyused $200 of direct materials on Job 1 and $350 of direct materials on Job 2. Prepare journal entriesto record the above transactions.DebitCreditPurchaseRaw Materials Inventory1,200Accounts Payable1,200Use - DMWork in Process Inventory550Raw Materials Inventory550Beg. Inv.XXXBeg. Inv.Purchases1,200Direct Materials550Direct Material550Direct LaborFactory OHDirect Materials200Direct Materials350Direct LaborDirect LaborFactory OHFactory OHJob 1Job 2General JournalRaw Materials InventoryWork in Process InventoryP 113 19-P2: Labor Cost Flows and Documents 14Labor Cost FlowsP 215Labor Time TicketP 216Labor Time TicketP 2Direct labor—traceable to specific jobs Job B15 . . . . . . . . . . . . . . . . . . . . . . . . .$ 1,000Job B16 . . . . . . . . . . . . . . . . . . . . . . . . .800Job B17 . . . . . . . . . . . . . . . . . . . . . . . . .1,100Job B18 . . . . . . . . . . . . . . . . . . . . . . . . .700Job B19 . . . . . . . . . . . . . . . . . . . . . . . . . 600Total direct labor . . . . . . . . . . . . . . .$4,200Indirect labor . . . . . . . . . . . . . . . . . . . . . . 1,100Total . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$ 5,30017NEED-TO-KNOWA manufacturing company used $5,400 of direct labor in production activities in May. Of this amount,$3,100 of direct labor was used on Job A1 and $2,300 of direct labor was used on Job A2. Prepare thejournal entry to record direct labor used.DebitCreditWork in Process Inventory5,400Factory Wages Payable5,400Beginning Inv.Direct Materials5,400Direct Labor5,400Factory OHDirect MaterialsDirect MaterialsDirect Labor3,100Direct Labor2,300Factory OHFactory OHJob A1Job A2General JournalFactory Wages PayableWork in Process InventoryP 218 19-P3: Overhead Cost Flows and Documents 19Overhead Cost Flows and Predetermined Overhead RateP 320 Road Warriors uses a predetermined overhead rate (POHR) based on direct labor cost to apply overhead to jobs.Predetermined Overhead RateP 321Predetermined Overhead RateP 322NEED-TO-KNOWA manufacturing company estimates it will incur $240,000 of overhead costs in the next year. The companyallocates overhead using machine hours, and estimates it will use 1,600 machine hours in the next year.During the month of June, the company used 80 machine hours on Job 1 and 70 machine hours on Job 2.1. Compute the predetermined overhead rate to be used to apply overhead during the year.2. Determine how much overhead should be applied to Job 1 and to Job 2 for June.3. Prepare the journal entry to record overhead applied for June.=$150 per machine hourMachine Hours UsedJob 1Job 2TotalDebitCreditWork in Process Inventory22,500Factory Overhead22,500150 hoursx $150 per hourGeneral Journalx Predetermined OH rate= OH Applied80 hours70 hoursx $150 per hourx $150 per hour= $12,000 OH applied= $10,500 OH applied= $22,500 OH applied$240,0001,600 machine hoursPredetermined Overhead Rate =Estimated Overhead CostsEstimated Activity BaseP 323Recording Actual OverheadIndirect MaterialIndirect LaborOtherP 324Recording Indirect Materials UsedP 325Recording Indirect Labor UsedP 326Recording Other Overhead CostsP 327NEED-TO-KNOWA manufacturing company used $400 of indirect materials and $2,000 of indirect labor during the month.The company also incurred $1,200 of depreciation on factory equipment, $500 of depreciation on officeequipment, and $300 of factory utilities. Prepare the journal entry to record actual factory overhead costsincurred during the month.DebitCreditFactory Overhead3,900Raw Materials Inventory400Factory Wages Payable2,000Accumulated Depreciation - Factory Equipment1,200Utilities Payable300General JournalActual OH IncurredOH Applied to ProductionInd. Materials400Ind. Labor2,000Fact. Deprec.1,200Fact. Utilities3003,900Factory OverheadP 328Summary of Cost FlowsP 329Summary of Cost FlowsP 330Summary of Cost FlowsP 331Schedule of Cost of Goods ManufacturedP 332Adjusting Factory Overhead P 333 19-P4: Underapplied or Overapplied Overhead 34Underapplied or Overapplied OverheadP 435NEED-TO-KNOWA manufacturing company applied $300,000 of overhead to its jobs during the year. For the independentscenarios below, prepare the journal entry to adjust over- or underapplied overhead. Assume the adjustmentamounts are not material.1. Actual overhead costs incurred during the year equal $305,000.305,000300,000Underapplied OH5,000DebitCreditCost of Goods Sold5,000Factory Overhead5,000Factory OverheadActual OH IncurredOH Applied to ProductionGeneral JournalP 436NEED-TO-KNOWA manufacturing company applied $300,000 of overhead to its jobs during the year. For the independentscenarios below, prepare the journal entry to adjust over- or underapplied overhead. Assume the adjustmentamounts are not material.2. Actual overhead costs incurred during the year equal $298,500.298,500300,000Overapplied1,500DebitCreditFactory Overhead1,500Cost of Goods Sold1,500Factory OverheadActual OH IncurredOH Applied to ProductionGeneral JournalP 437Global View38Porsche AG manufactures high-performance cars. Each car is built according to individual customer specifications. Customers can use the Internet to place orders for their dream cars. Porsche employs just-in-time inventory techniques to ensure a flexible production process that can respond rapidly to customer orders. For a recent year, Porsche reported €33,781 million in costs of materials and €9,038 million in personnel costs, which helped generate €57,081 million in revenue.End of Chapter 1939