Job costing Chapter 4 ME 2027 Performance and Cost Analysis ME 2605 Cost Management and Control (for IMIM) Håkan Kullvén, KTH, 2007

Accounting exercise Note how the profit consists of revenues from sales, and the costs for the sold products All that is unsold is in other parts of the accounts −I−In the Stores ledger, −I−In Work in process, −I−In Finished goods, −I−In Wages control, −I−In Factory overhead, or −I−In Non-manufacturing overhead Example 4.2 starting on page 115

Closing remarks Backflush costing −F−For a JIT environment −I−Inventories defined at trigger points, the rest is costs Contract costing −A−A contract account for each contract −P−Progress payments considered

Next, we… discuss how a costing system can be designed for products that consume resources in the same manner. In this case, it is not useful to distinguish each product in the costing system Chapters 5 & 6