AS 302 Lecture Notes - Lecture 1: Information System, Washington Outer Beltway, Twist-On Wire Connector
Document Summary
Your goals for job order costing system are to learn about: basic concepts in job costing, information systems for job costing environments, tracking job costs in the corporate ledger. The answer to this question is more complex than you might suspect. Multiple persons, parts, and processes may be needed to bring about a deliverable output. After this study you will have a better sense of how business information systems are used to generate these important cost data. For example, a ship builder would likely accumulate costs for each ship produced. An aircraft manufacturer would find this method logical. Construction companies and home builders would naturally gravitate to job costing approach. Material and labour can be readily traced to each job and the cost assignment logically follows. Begin to develop an understanding of job costing by thinking about a simple illustration. Jack castle owns an electrical contracting company, castle electric. Jack provides a variety of products and services to clientele.
