Question

CHAPTER 15 LEARNING OBJECTIVES DESCRIBE COST SYSTEMS AND THE FLOW OF COSTS IN A JOB ORDER SYSTEM 1. culate muu Lrventary Puctory Labor and manutarka Grey head 2. USE A JOB COST SHEET TO ASSIGN COSTS TO WORK IN PROCESS. sty DEMONSTRATE How TO DETERMINE AND USE THE PREDETERMINED OVERHEAD RATE 3. ons 3. PREPARE ENTRIES FOR MANUFACTURING AND SERVICE JOBS COMPLETED AND SOLD. 5. DISTINGUISH BETWEEN UNDER-AND OVERAPPLIED MANUFACTURING OVERHEAD. through th r

answer the question from 1 to 5，please

Answer 1

Question No: 1

Cost systems:

It is the accounting system framework the firms use generally to determine the cost of their

products. It helps them to analyze their profitability, value their inventory and control their costs.

The flow of costs in Job Order Costing System includes the following:

(a) Manufacturing costs would be accumulated.

(b) Accumulated manufacturing costs would be assigned to the work-in-process.

(c) Costs would be assigned to finished products and thereby assigned to cost of goods sold.

(d) Service companies are accounted with Job order costing system.

(e) Job order cost flow summary would be prepared.

(f) Advantages and disadvantages of job order costing system would be identified.

Note: As per Chegg guidelines. me first independent question was answered.