Job Costing Homework Help

Job costing is the process of allocating manufacturing costs to an individual product or several products.The job order costing procedure is used only when the products manufactured are sufficiently different from each other.

Since there is much difference in the products manufactured, the job costing process will create a job cost record for each item. The job costing record will report the direct materials and direct labor actually used plus the manufacturing overhead allocated to each job.The job cost records can also come handy to serve as the subsidiary ledger or documentation for the cost of the work-in-progress inventory, finished goods inventory, and the cost of goods sold.

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