Job Order Costing Concepts

Front

What is a "job" in job order costing?

Back

A specific, customized product or service requested by a customer.

Front

Which of the following is a direct material?
Factory rent
 Wood used to build a custom table
 Internet service

Back

Wood used to build a custom table

Front

What is direct labor?

Back

The time workers spend building or assembling a job.

Front

What is factory overhead?

Back

Indirect costs like rent, electricity, or tools

Front

Which business is most likely to use job order costing? A cereal factory, A company that prints custom t-shirts, A bottled water plant, A paper mill

Back

A company that prints custom t-shirts