What are Steps in job-order costing process?

Question

salam mannara mannara · Answer

place the lowest tender and ensnare the good quality also

Mohammed El Tahir Mohammed Yousif · Answer

In a job-order costing system, jobs are accounted for using the job-order cost sheet. The process involves the following steps:

1-Identification of the job

2-Tracing direct costs to the job

3-Identifying the indirect costs i.e. manufacturing overheads and finding the cost allocation base for each cost.

4-Applying the indirect costs to the job using the pre-determined allocation rate.

5-Finding total cost by summing up all the cost components.

6-Closing the under/over-applied manufacturing overheads to cost of goods sold/income statement.

7-Calculating revenue and profit.