亨格瑞成本与管理会计（第16版） 课件Chapter 4 Job Costing

CostAccountingSeventeenthEdition,GlobalEditionChapter4JobCostingCopyright©2021PearsonEducationLtd.LearningObjectives(1of2)4.1Describethebuilding-blockconceptsofcostingsystems4.2

Distinguishjobcostingfromprocesscosting4.3Describetheapproachestoevaluatingandimplementingjob-costingsystems4.4

Outlinetheseven-stepapproachtonormalcosting4.5

Distinguishactualcostingfromnormalcosting4.6

Tracktheflowofcostsinajob-costingsystemLearningObjectives(2of2)4.7Adjustforunder-oroverallocatedmanufacturingoverheadcostsattheendofthefiscalyearusingalternativemethods4.8UnderstandvariationsfromnormalcostingBasicCostingTerminology—ReviewLet’sreviewseveralkeytermsfrompriorchapters:Costobjectsareanythingforwhichacostmeasurementisdesired.Directcostsofacostobjectarecoststhatcanbetracedtothatcostobjectinaneconomicallyfeasibleway.Indirectcostsofacostobjectarecoststhatcannotbetracedinaneconomicallyfeasibleway.BasicCostingTerminology—NewTermsCostPool—agroupingofindividualindirectcostitems.Costpoolssimplifytheallocationofindirectcostsbecausethecostingsystemdoesnothavetoallocateeachcostindividually.Cost-allocationbase—asystematicwaytolinkanindirectcostorgroupofindirectcoststocostobjects.Theconceptsrepresentedbythesefivetermsconstitutethebuildingblockswewillusetodesignthecostingsystemsdescribedinthischapter.CostAssignmentCostingSystemsInaJobCostingSystem,thecostobjectisaunitormultipleunitsofadistinctproductorservicewhichwecallajob.Eachjobgenerallyusesdifferentamountsofresources.InaProcessCostingSystem,thecostobjectincludesmassesofidenticalorsimilarunitsofaproductorservice.Inthistypeofsystem,wedividethetotalcostofproducinganidenticalorsimilarproductorservicebythetotalnumberofunitsproducedtoobtainaper-unitcost.CostingSystemsIllustratedExhibit4.1ExamplesofJobCostingandProcessCostingintheService,Merchandising,andManufacturingSectors.CostingApproachesActualCosting—allocatesindirectcostsbasedontheactualindirectcostratestimestheactualquantitiesofthecostallocationbase.NormalCosting—allocatesindirectcostsbasedonthebudgetedindirectcostratestimestheactualquantitiesofthecostallocationbase.Bothmethodsallocatedirectcoststoacostobjectthesameway—byusingactualdirectcostratestimesactualconsumption.CostingApproachesSummarizedActualCostingNormalCostingDirectCostsActualdirect-costratesxactualquantitiesofdirect-costinputsActualdirect-costratesxactualquantitiesofdirect-costinputsIndirectCostsActualindirect-costratesxactualquantitiesofcost-allocationbasesBudgetedindirect-costratesxactualquantitiesofcost-allocationbasesSeven-StepApproachtoJobCostingUsingNormalCosting(1of3)Identifythejobthatisthechosencostobject.Identifythedirectcostsofthejob.Selectthecost-allocationbase(s)touseforallocatingindirectcoststothejob.Identifytheindirectcostsassociatedwitheachcost-allocationbase.(Determinetheappropriatecostpoolsthatarenecessary.)Seven-StepApproachtoJobCostingUsingNormalCosting(2of3)ComputetheRateperUnitofeachcost-allocationbaseusedtoallocateindirectcoststothejob(normalcostingusesbudgetedvalues)Computetheindirectcostsallocatedtothejob:BudgetedManufacturingOverheadRate×ActualBaseActivityFortheJobSeven-StepApproachtoJobCostingUsingNormalCosting(3of3)Computetotaljobcostsbyaddingalldirectandindirectcoststogether.DirectManufacturingCosts DirectMaterials xxxx DirectLabor xxxx xxxx ManufacturingOverhead IndirectCosts xxxx TotalMFGCostsofJobXYZ xxxxContrastingActualandNormalCostingBothactualcostingandnormalcostingtracedirectcoststojobsinthesamewaybecausesourcedocumentsidentifytheactualquantitiesandactualratesofdirectmaterialsanddirectmanufacturinglaborforajobastheworkisbeingdone.TheonlydifferencebetweencostingajobwithnormalcostingandactualcostingisthatnormalcostingusesBUDGETEDindirect-costrateswhereactualcostingusesACTUALindirect-costratescalculatedannuallyattheendoftheyear.JobCostingOverviewExhibit4.4Job-CostingOverviewforDeterminingManufacturingCostsofJobsatRobinsonCompanyFlowofCostsinJobCostingExhibit4.6FlowofCostinJobCostingJournalEntries(1of7)Journalentriesaremadeateachstepoftheproductionprocess.Thepurposeistohavetheaccountingsystemcloselyreflecttheactualstateofthebusiness,itsinventories,anditsproductionprocess.Allproductcostsareaccumulatedinthework-in-processcontrolaccount.DirectmaterialsusedDirectlaborincurredFactoryoverheadallocated(orapplied)Actualindirectcosts(overhead)areaccumulatedinthemanufacturingoverheadcontrolaccount.JournalEntries(2of7)Purchaseofmaterials(direct&indirect)oncredit:MaterialsControl XXAccountsPayableControl XXUsageofdirectandindirect(OH)materialsintoproduction:Work-in-ProcessControl XX ManufacturingOverheadControl XX MaterialsControl XXJournalEntries(3of7)ManufacturingPayroll(direct&indirect)Work-in-ProcessControl(direct) XXManufacturingOverheadControl(indirect) XX CashControl XXOthermanufacturingoverheadcostsincurredduringtheperiod:ManufacturingOverheadControl XX CashControl XXAccumulatedDepreciationControl XXJournalEntries(4of7)Allocation(orapplication)ofindirectcosts(overhead)tothework-in-processaccountisbasedonapredeterminedoverheadrate(BudgetedManufacturingOverheadRate).Work-in-ProcessControl XX ManufacturingOverheadAllocated XXNote:Actualoverheadcostsareneverposteddirectlyintowork-in-process.JournalEntries(5of7)Productsarecompletedandtransferredoutofproduction(Work-in-Process)toFinishedGoodsinpreparationforbeingsold.FinishedGoodsControl XX Work-in-ProcessControl XXJournalEntries(6of7)Whengoodsaresold,theassociatedcostsaretransferredtoanexpense(cost)account.CostofGoodsSold XX FinishedGoodsControl XXAccountsReceivableControl XXSales XXNote:Thedifferencebetweenthesalesandcostofgoodssoldrepresentsthegrossmargin(profit)onthisparticulartransaction.JournalEntries(7of7)Whenmarketingorcustomer-servicecostsareincurred,theappropriateexpenseaccountisincreased,andCashControlisdecreased(orAccountsPayableControlwouldbeincreased,iftheitems/servicesarepurchasedonaccount).MarketingExpense XXCustomer-ServiceExpense XX CashControl XXIllustratedGeneralLedgerinaJobCostEnvironmentExhibit4.7ManufacturingJob-CostingSystemUsingNormalCosting:DiagramofGeneralLedgerRelationshipsIllustratedSubsidiaryLedgerinaJobCostEnvironmentExhibit4.8SubsidiaryLedgersforMaterials,Labor,andManufacturingDepartmentOverheadAccountingforOverhead(1of3)Recallthattwodifferentoverheadaccountswereusedintheprecedingjournalentries:Manufacturingoverheadcontrolwasdebitedfortheactualoverheadcostsincurred.Manufacturingoverheadallocatedwascreditedforestimated(budgeted)overheadappliedtoproductionthroughthework-in-processaccount.AccountingforOverhead(2of3)Actualcostswillalmostneverequalbudgetedcosts.Accordingly,animbalancesituationexistsbetweenthetwooverheadaccounts.IfOverheadControl>OverheadAllocated,thisiscalledUNDERALLOCATEDoverhead.IfOverheadControl<OverheadAllocated,thisiscalledOVERALLOCATEDoverhead.AccountingforOverhead(3of3)Thedifferencebetweentheoverheadaccountswillbeadjustedintheend-of-periodadjustingentryprocess,usingoneofthreefollowingmethods:AdjustedallocationrateapproachProrationapproachWrite-offapproachThreeMethodsforAdjustingOver/UnderappliedOverheadAdjustedallocationrateapproach—allallocationsarerecalculatedwiththeactual,exactallocationrate.Prorationapproach—thedifferenceisallocatedbetweencostofgoodssold,work-in-process,andfinishedgoodsbasedontheirrelativeamounts.Write-offapproach—thedifferenceissimplywrittenofftocostofgoodssold.ChoosingAmongApproachesWhenmanagementisdecidingamongapproaches,theyshouldconsiderthefollowing:ThepurposeoftheadjustmentThetotalamountofunderallocationoroverallocationWhetherthevariancewasover-orunderallocatedThechoiceofmethodshouldalsoconsidermateria