RyxUnstoppable Company produces a variety of products. The company operates 24 hours per day with three daily work shifts. The 1st shift workers receive regular pay. The 2nd shift workers receive 10% pay premium and the 3rd shift workers receive 20% pay premium. In addition, the Company pays overtime premium of 50% based on the pay rate for the 1st shifts. The actual payroll for the month is as follows: Total wages for 16,000 hours ?? Wage rate per hour for 1st shift P35 Total regular hours worked 15,000
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.
How much is charge to factory
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