Help mework this: During July, the production department of a process operation system completed and transferred to finished goods 33000 units that were in process at the beginning of July and 59000 that were started and completed in July. July's beginning inventory units were 100% complete with respect to materials and 70% complete with respect to labor. At the end of July , 29000 additional units were in process in the production department and were 100% complete with respect to material s and 55% complete with respect to labor. The beginning inventory included labor cost of $52,006 and the production department incurred direct labor cost of $451,450 . during July. Compute the direct labor cost per equivalent unit for the dept. using the weighted average method.
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.
Help mework this: During July, the production department of a process operation system completed and transferred to finished goods 33000 units that were in process at the beginning of July and 59000 that were started and completed in July. July's beginning inventory units were 100% complete with respect to materials and 70% complete with respect to labor. At the end of July , 29000 additional units were in process in the production department and were 100% complete with respect to material s and 55% complete with respect to labor. The beginning inventory included labor cost of $52,006 and the production department incurred direct labor cost of $451,450 . during July. Compute the direct labor cost per equivalent unit for the dept. using the weighted average method.
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