Curly Girl Manufacturing manufactures salon-quality hair dryers. Curly Girl applies overhead based on direct labor hours. The company's predetermined overhead rate was based on an estimated 480,000 direct labor hours and $1,728,000 estimated total overhead. During November, the company manufactured 22,400 hair dryers in Job CG12 and incurred the following costs: Direct Materials: $103,040 Direct Labor (39,200 hours at $18): $705,600 and Actual overhead incurred during the month: $148,960. What is the unit cost of the hair dryers produced in Job CG12? $24.23 $42.40 $36.10 $42.75
Process Costing
Process costing is a sort of operation costing which is employed to determine the value of a product at each process or stage of producing process, applicable where goods produced from a series of continuous operations or procedure.
Job Costing
Job costing is adhesive costs of each and every job involved in the production processes. It is an accounting measure. It is a method which determines the cost of specific jobs, which are performed according to the consumer’s specifications. Job costing is possible only in businesses where the production is done as per the customer’s requirement. For example, some customers order to manufacture furniture as per their needs.
ABC Costing
Cost Accounting is a form of managerial accounting that helps the company in assessing the total variable cost so as to compute the cost of production. Cost accounting is generally used by the management so as to ensure better decision-making. In comparison to financial accounting, cost accounting has to follow a set standard ad can be used flexibly by the management as per their needs. The types of Cost Accounting include – Lean Accounting, Standard Costing, Marginal Costing and Activity Based Costing.
Curly Girl Manufacturing manufactures salon-quality hair dryers. Curly Girl applies
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