Sandhill Manufacturing Inc. provides you with the following data for the month of June: Prime costs were $195,300, conversion costs were $140,900, and total manufacturing costs incurred were $262,000. Beginning and ending work in process inventories were equal. Selling and administrative costs were $294,200. (a) Your answer is correct. What were the total costs of direct materials used, direct labour, and manufacturing overhead? (b) Direct material costs Direct labour costs eTextbook and Media Manufacturing overhead costs $ $ Total costs of production $ $ What were the total costs of production? eTextbook and Media 121100 74200 66700 Attempts: 1 of 2 used
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.
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