Process Costing and Hybrid Product Costing Systems参考.ppt

Process Costing and Hybrid Product-Costing Systems Comparison of Job-Order Costing and Process Costing Comparison of Job-Order Costing and Process Costing Comparison of Job-Order Costing and Process Costing Job-order costing Costs accumulated by the job. Work in process has a job-cost sheet for each job. Many unique, high cost jobs. Jobs built to customer order. Process costing Costs accumulated by department or process. Work in process has a production report for each batch of products. A few identical, low cost products. Units continuously produced for inventory in automated process. Process Cost Flows Process Cost Flows Process Cost Flows Process Cost Flows Process Cost Flows Process Cost Flows Process Cost Flows Process Cost Flows Process Cost Flows Process Cost Flows Process Cost Flows Process Costing Process Costing Differences Between Job-Order and Process Costing Differences Between Job-Order and Process Costing Equivalent Units: A Key Concept Costs are accumulated for a period of time for products in work-in-process inventory. Products in work-in-process inventory at the beginning and end of the period are only partially complete. Equivalent units is a concept expressing these partially completed products as a smaller number of fully completed products. Equivalent Units Example Equivalent Units Question 1 Equivalent Units Question 1 Calculating and Using Equivalent Units of Production To calculate the cost perequivalent unit for the period: Departmental Production Report Equivalent Units of Production –Weighted-Average Method The weighted-average method . . . Makes no distinction between work done in the prior period and work done in the current period. Blends together units and costs from the prior period and the current period. Production Report Example Production Report Example MVP Sports Equipment Company makes baseball gloves in two departments, Cutting and Stitching. MVP uses the weighted-average cost procedure. Material is added at the beg