管理会计4

• The flow of costs through the manufacturing accounts is basically the same in both systems.
4-3
Differences Between Job-Order and Process Costing
• Process costing is used when a single product is produced on a continuing basis or for a long period of time. Job-order costing is used when many different jobs are worked on each period. • Process costing systems accumulate costs by department. Job-order costing systems accumulate costs by individual jobs. • Process costing systems compute unit costs by department. Job-order costing systems compute unit costs by job on the job cost sheet.
4-4
Quick Check
Process costing is used for products that are:
a. Different and produced continuously.
b. Similar and produced continuously.
c. Individual units produced to customer specifications. d. Purchased from vendors.
•Direct Materials •Direct Labor •Applied Overhead
Work in Process Department B
•Direct Materials •Direct Labor •Applied Overhead
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Process Costing
(In journal entry form)
4-23
Process Costing
(in journal entry form)
GENERAL JOURNAL
Date Sales To record sales on account. Cost of Goods Sold Finished Goods To record cost of goods sold. XXXXX Description Accounts Receivable Post. Ref. Debit XXXXX
Page 4
Credit XXXXX
4-22
Process Cost Flows (in journal entry form)
Work in Process Department B
Finished Goods
•Direct •Cost of •Cost of •Cost of Materials Goods Goods Goods •Direct Manufactured Manufactured Sold Labor •Applied Overhead •Transferred Cost of Goods Sold from Dept. A •Cost of Goods Sold
Page 4
Credit XXXXX
4-20
Process Cost Flows (in T-account form)
Work in Process Department B •Direct •Cost of Materials Goods •Direct Manufactured Labor •Applied Overhead •Transferred from Dept. A
Page 4
Credit
XXXXX
4-14
Process Cost Flows (in T-account form)
Salaries and Wages Payable
•Direct Labor
Work in Process Dels •Direct Labor
4-12
Process Cost Flows (in T-account form)
Raw Materials
•Direct Materials
Work in Process Department A
•Direct Materials
Work in Process Department B
•Direct Materials
Page 4
Credit
XXXXX
4-18
Process Cost Flows (in T-account form)
Work in Process Department A •Direct Transferred Materials to Dept. B •Direct Labor •Applied Overhead Work in Process Department B
Finished Goods
•Cost of Goods Manufactured
4-21
Process Costing
(in journal entry form)
GENERAL JOURNAL
Date Description Finished Goods Work in Process - Department B To record the completion of goods and their transfer from Department B to finished goods inventory. Post. Ref. Debit XXXXX
Work in Process Department B
•Direct Materials •Direct Labor
4-15
Process Costing
(in journal entry form)
GENERAL JOURNAL
Date Description Work in Process - Department A Work in Process - Department B Salaries and Wages Payable To record direct labor costs. Post. Ref. Debit XXXXX XXXXX
Direct Materials
Direct Labor
Jobs
Finished Goods
Manufacturing Overhead
Cost of Goods Sold
4-10
Comparing Job-Order and Process Costing
Costs are traced and applied to departments in a process cost system. Processing Department
Direct Materials
Direct Labor
Work in Proces s
Finished Goods
Manufacturing Overhead
Cost of Goods Sold
4-9
Comparing Job-Order and Process Costing
Costs are traced and applied to individual jobs in a job-order cost system.
4-5
Processing Departments
Any unit in an organization where materials, labor or overhead are added to the product. The activities performed in a processing department are performed uniformly on all units of production. Furthermore, the output of a processing department must be homogeneous.
Page 4
Credit
XXXXX
4-16
Process Cost Flows (in T-account form)
Work in Process Department A Manufacturing Overhead
•Actual Overhead •Overhead Applied to Work in Process
Direct Materials
Direct Labor
Finished Goods
Manufacturing Overhead
Cost of Goods Sold
4-11
T-Account and Journal Entry Views of Cost Flows
assume there are two processing departments – Departments A and B. We will use T-accounts and journal entries.
4-6
Production Process of Coca-cola
4-7
Learning Objective 1
Record the flow of materials, labor, and overhead through a process cost system.