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Materials Inventory. Direct Labor. Direct Labor. Work in Process Inventory. Cost of goods manufactured. Factory Overhead. Factory Overhead. Finished Goods Inventory. Overview of Job Order Costing. Costs & Expenses. Product Costs. Balance Sheet. Materials Purchases. Materials - PowerPoint PPT Presentation
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Overview of Job Order CostingOverview of Job Order Costing
Product Costs
Costs & ExpensesCosts & Expenses
Balance Sheet
DirectLabor
DirectLaborDirectLabor
DirectLabor
Factory Overhead
Factory Overhead
Factory Overhead
Factory Overhead
FinishedGoods
Inventory
FinishedGoods
Inventory
Cost of goods manufactured
Work inProcess
Inventory
Work inProcess
Inventory
MaterialsInventory
MaterialsInventory
MaterialsPurchases
MaterialsPurchases
Cost of
Goods Sold
Cost ofGoods Sold
Product Costs
Period Costs
Costs & ExpensesCosts & Expenses
Balance Sheet
DirectLabor
DirectLaborDirectLabor
DirectLabor
Factory Overhead
Factory Overhead
Factory Overhead
Factory Overhead
FinishedGoods
Inventory
FinishedGoods
Inventory
Work inProcess
Inventory
Work inProcess
Inventory
Income Statement
Selling andAdministrative
Selling andAdministrative
Selling andAdministrative
Selling andAdministrative
Period costs flow directly to the
income statement
Period costs flow directly to the
income statement
Overview of Job Order CostingOverview of Job Order Costing
MaterialsInventory
MaterialsInventory
MaterialsPurchases
MaterialsPurchases
Flow of Manufacturing Costs - 1Flow of Manufacturing Costs - 1
DMDM
Materials Work in Process Finished Goods
Payroll Control Factory Overhead
Cost of Goods Sold
DMDMMaterialsPurchased
TotalWages
Direct materials used in productionDMDM
DMDM
Materials Work in Process Finished Goods
Payroll Control Factory Overhead
Cost of Goods Sold
IMIM
DMDMMaterialsPurchased
TotalWages
Indirect materials used in productionIMIM
Flow of Manufacturing Costs - 2Flow of Manufacturing Costs - 2
IMIM
DMDM
Materials Work in Process Finished Goods
Payroll Control
DLDL
Factory Overhead
Cost of Goods Sold
IMIM
DMDMMaterialsPurchased
TotalWages
Direct labor used in productionDLDL
Flow of Manufacturing Costs - 3Flow of Manufacturing Costs - 3
IMIM
DLDL
DMDM
Materials Work in Process Finished Goods
Payroll Control
DLDL
Factory Overhead
Cost of Goods Sold
IMIM
ILIL
DMDM
IMIM
DLDL
ILIL
MaterialsPurchased
TotalWages
Indirect labor used in productionILIL
Flow of Manufacturing Costs - 4Flow of Manufacturing Costs - 4
DMDM
Materials Work in Process Finished Goods
Payroll Control
DLDL
Factory Overhead
Cost of Goods Sold
IMIM
ILIL
DMDM
IMIM
DLDL
ILIL
MaterialsPurchased
TotalWages
Other factory overhead (OFOH) costs incurred during production
OFOHOFOH
Flow of Manufacturing CostsFlow of Manufacturing Costs
OFOHOFOH
DMDM
Materials Work in Process Finished Goods
Payroll Control
DLDL
Factory Overhead
Cost of Goods Sold
IMIM
ILIL
DMDM
IMIM
DLDL
ILIL
OFOHOFOH
MaterialsPurchased
TotalWages
Based on predetermined overhead rate
FOHAFOHA
Factory overhead applied (FOHA) to work in process
FOHAFOHA
Flow of Manufacturing Costs - 5Flow of Manufacturing Costs - 5
FOHAFOHA
DMDM
Materials Work in Process Finished Goods
Payroll Control
DLDL
Factory Overhead
Cost of Goods Sold
IMIM
ILIL
DMDM
IMIM
DLDL
FOHAFOHA
ILIL
OFOHOFOH
COGMCOGMCOGMCOGMMaterialsPurchased
TotalWages
FOHAFOHA
Cost of goods manufactured and transferred to finished goods
COGMCOGM
Flow of Manufacturing Costs - 6Flow of Manufacturing Costs - 6
DMDM
Materials Work in Process Finished Goods
Payroll Control
DLDL
Factory Overhead
Cost of Goods Sold
IMIM
ILIL
DMDM
IMIM
DLDL
FOHAFOHA
ILIL
OFOHOFOH
SOLDSOLDMaterialsPurchased
TotalWages
FOHAFOHA
Finished goods soldSOLDSOLD
COGMCOGMCOGMCOGM
Flow of Manufacturing Costs - 7Flow of Manufacturing Costs - 7
SOLDSOLD
Job Order Systems for Job Order Systems for Professional Service BusinessesProfessional Service Businesses
Job Order Systems for Job Order Systems for Professional Service BusinessesProfessional Service Businesses
Work in ProcessPayroll Control Cost of Services
OverheadSupplies
Direct labor xxx
Indirect labor
xxxPurchased xxx Used xxxxxx
Other costs xxx
Applied xxx
xxx
Completed jobs xxx
