Job costing is a technique of determine the cost of a manufacturing job rather than the process of the job. Manufacturing overhead is applied to product or job order is determined as predetermined overhead. To compute : The cot per hour of the resource supplied in engineering department, time driven activity rate for all three activities, and the total labor cost consumed by customer A, B and C.

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Chapter 5A, Problem 5A.5P

1.

To determine

Introduction: Job costing is a technique of determine the cost of a manufacturing job rather than the process of the job. Manufacturing overhead is applied to product or job order is determined as predetermined overhead.

To compute: The cot per hour of the resource supplied in engineering department, time driven activity rate for all three activities, and the total labor cost consumed by customer A, B and C.

2.

To determine

Introduction: Job costing is a technique of determine the cost of a manufacturing job rather than the process of the job. Manufacturing overhead is applied to product or job order is determined as predetermined overhead.

To compute: The used capacity in hour, unused capacity in hour, unused capacity in number of employees, impact on expenses of matching capacity with demand.

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