레이블이 Job Costing Accounting Example인 게시물을 표시합니다. 모든 게시물 표시
레이블이 Job Costing Accounting Example인 게시물을 표시합니다. 모든 게시물 표시

2013년 11월 29일 금요일

About 'accounting based costing'|...Costs of Goods Sold for a private business. Second, the accounting gimmick of "Cost of Teaching and Learning" makes no distinction between...







About 'accounting based costing'|...Costs of Goods Sold for a private business. Second, the accounting gimmick of "Cost of Teaching and Learning" makes no distinction between...








A               bank               account               is               a               safe,               efficient,               and               convenient               way               to               handle               your               money.

But               there               are               various               types               of               charges               associated               with               some               accounts.

When               you               understand               the               charges               and               what               causes               them,               you               can               determine               how               to               avoid               or               control               the               charges               and               thereby               save               a               considerable               amount               of               money               over               time.

Evaluate               Your               Options               Before               Opening               an               Account
               Banks               generally               offer               different               types               of               checking               accounts,               some               of               which               are               adapted               to               accommodate               the               needs               of               different               groups               of               customers.

So               the               first               step               in               controlling               bank               charges               is               to               evaluate               your               own               situation.

You               should               think               about               what               you               need               from               your               checking               account,               investigate               and               compare               the               different               types               of               checking               accounts               offered,               and               choose               the               option               that               is               most               advantageous               for               you.

By               selecting               the               right               account,               you               can               avoid               some               of               the               charges.
               Many               banks               offer               free               checking               accounts;               that               is,               accounts               with               no               maintenance               fee               and               no               minimum               balance               requirement.

Some               banks               may               offer               free               checking               accounts               for               certain               groups               of               customers,               such               as               students               or               people               50               or               55               years               of               age               or               older.

In               some               cases               the               bank               may               offer               a               checking               account               without               charges               as               long               as               the               customer               has               other               products               with               the               bank,               such               as               a               credit               card,               savings               account,               certificate               of               deposit,               mortgage               loan,               or               other               type               of               loan.
               You               can               look               for               information               on               the               banks'               websites,               where               they               show               a               comparison               of               the               different               types               of               checking               accounts,               the               requirements               for               opening               them,               and               the               charges               associated               with               each               type               of               account.

You               can               also               visit               the               bank               and               talk               to               an               account               executive               to               inquire               about               the               possibilities               available               and               ask               for               guidance.
               Types               of               Charges
               Some               of               the               most               common               charges               to               a               checking               account               are               the               monthly               service               charge,               the               charge               for               printing               checks,               charges               based               on               the               number               of               checks               drawn,               charges               for               use               of               an               automatic               teller               machine               (ATM),               charges               for               overdrafts,               charges               for               checks               returned               due               to               insufficient               funds,               and               charges               for               placing               stop-payment               orders.
               Monthly               Service               Charge               or               Maintenance               Charge
               This               is               a               monthly               fee               the               bank               charges               for               having               the               account.

In               some               types               of               accounts               this               charge               depends               on               maintaining               a               minimum               balance.

As               long               as               the               balance               in               your               account               during               the               month               stays               above               the               minimum               amount,               there               is               no               fee.
               In               some               cases               the               maintenance               charge               is               based               on               the               balance               in               your               checking               account               or               the               total               of               the               balance               in               your               checking               account               plus               the               balances               in               other               bank               products,               such               as               savings               accounts,               certificates               of               deposit,               money               market               instruments,               and               individual               retirement               accounts               (IRAs).
               It               is               important               to               understand               the               conditions               that               apply               in               the               case               of               a               checking               account               with               no               maintenance               charges.

There               could               be               a               limit               on               the               number               of               checks               you               can               write               each               month,               or               you               may               have               to               maintain               a               minimum               balance               in               the               account,               as               mentioned               above.

Another               requirement               for               a               free               or               low-cost               checking               account               could               be               that               you               must               have               direct               deposit               of               your               paycheck.

In               any               case,               direct               deposit               can               be               convenient               once               you               have               an               account               set               up.

It               is               an               automatic               and               safe               way               to               receive               your               pay,               without               having               to               go               to               the               bank               to               deposit               or               cash               a               paycheck.
               Based               on               the               foregoing,               there               are               generally               two               ways               to               avoid               the               monthly               service               or               maintenance               charge:               choose               a               type               of               account               that               doesn't               charge               a               monthly               fee,               or               maintain               a               sufficient               balance               in               your               account               so               you               are               not               charged               the               fee.
               Charge               for               Printing               Checks
               When               you               open               an               account               and               ask               for               checks,               the               bank               will               charge               your               account               a               fee               for               printing               the               checks.

Normally               there               is               a               minimum               quantity               of               checks               that               you               can               request.

The               bank               could               offer               different               types               of               checks,               for               example               with               different               designs,               with               or               without               a               stub               that               remains               in               your               checkbook               for               noting               the               check               data,               and               checks               with               carbon               copy.

Checks               with               special               designs               or               the               other               options               generally               cost               more               than               standard               checks.
               You               could               avoid               this               charge               if               you               are               going               to               pay               all               your               bills               on               line,               withdraw               the               cash               you               need               from               the               ATM,               and               really               don't               need               to               write               checks.

But               you               should               consider               your               own               circumstances               and               the               convenience               of               having               the               option               to               write               a               check               if               you               need               to.
               Charge               for               the               Checks               You               Write
               In               addition               to               the               monthly               service               or               maintenance               fee,               or               in               some               cases               instead               of               this               fee,               the               bank               could               charge               your               account               for               each               check               you               write,               or               could               charge               you               for               each               check               over               a               certain               number               of               checks               per               month.
               You               can               avoid               or               minimize               this               charge               by               paying               your               bills               on               line               instead               of               writing               checks               and               sending               them               by               mail.

This               assumes               that               the               account               you               open               allows               you               to               manage               your               account               online               with               a               bill               paying               facility.
               Charge               for               Using               an               ATM
               Normally               the               bank               allows               its               customers               to               use               the               bank's               own               ATMs               without               a               charge.

But               there               could               be               a               charge               when               you               use               other               banks'               ATMs.

In               that               case,               the               other               bank               could               also               charge               a               fee               for               using               their               ATMs.

Although               these               charges               do               not               represent               a               significant               amount               for               each               transaction,               they               can               add               up               over               time               when               you               use               ATMs               frequently,               so               it               is               important               to               control               them.
               The               best               way               to               avoid               this               charge               is               to               use               only               your               own               bank's               ATMs.

This               is               not               always               possible               when               you               are               somewhere               else               and               need               to               withdraw               cash               from               an               ATM               that               does               not               belong               to               your               bank.

ATMs               exist               in               order               to               provide               this               convenience.

But               with               a               little               planning,               you               can               take               out               the               cash               you               will               need               from               your               own               bank's               ATMs,               or               inside               the               bank               itself,               and               thereby               avoid               this               charge.

If               you               are               traveling,               you               should               weigh               the               risk               of               carrying               cash               against               the               charge               you               incur               when               you               take               cash               out               of               ATMs               as               you               need               it.
               Charges               for               Insufficient               Funds
               When               you               write               a               check               and               there               are               not               sufficient               funds               in               your               account               to               cover               the               check,               the               bank               will               not               honor               the               check               and               will               also               charge               you               a               fee.

This               fee               can               be               quite               high               and               is               charged               for               each               insufficient               funds               check               you               write.
               The               way               to               avoid               this               charge               is               to               keep               your               account               reconciled               and               up-to-date               with               all               debits               and               credits,               including               deposits               and               other               credits,               all               the               checks               you               have               written,               and               all               the               bank               charges.

When               you               manage               your               account               online,               you               can               see               the               accounting               balance               and               the               available               balance               at               all               times.

If               you               manage               your               account               using               the               register               in               your               checkbook,               it               is               important               to               note               all               entries.

For               example,               you               should               note               the               date,               payee,               and               amount               of               the               check               in               your               checkbook               register               as               soon               as               you               write               the               check               itself,               note               your               deposits               as               soon               as               you               make               them,               and               you               should               note               the               bank               charges               and               any               other               credits               when               you               receive               your               statement               and               reconcile               your               account               balance.

This               way               you               can               be               confident               that               the               amount               recorded               in               your               checkbook               register               is               up-to-date               so               you               will               know               the               balance               you               have               available               and               can               avoid               writing               checks               with               insufficient               funds.
               Another               possibility,               for               the               times               when               you               could               potentially               write               a               check               without               sufficient               funds               in               your               account,               is               to               contract               overdraft               protection,               which               is               in               effect               a               line               of               credit               with               the               bank               that               is               activated               when               you               write               a               check               for               more               than               the               balance               in               your               account.

Normally,               interest               is               charged,               and               possibly               a               fee               or               commission               for               the               overdraft               protection,               so               it               is               important               to               understand               the               conditions               before               contracting               it.

But               in               any               event,               the               costs               involved               with               an               overdraft               line               of               credit               could               be               lower               than               the               charges               for               insufficient               funds               checks,               and               overdraft               protection               can               protect               you               from               the               adverse               consequences               in               your               payment               history               and               therefore               in               your               credit               for               checks               that               are               returned               due               to               insufficient               funds.
               Charge               for               Rejected               Deposits
               When               you               deposit               a               check               in               your               account               and               the               check               is               rejected               by               the               bank               on               which               it               was               drawn,               your               bank               could               charge               you               a               fee               for               the               rejected               deposit.
               When               you               are               receiving               payment               from               someone               you               don't               know,               or               when               you               have               doubts               about               a               check,               it               is               preferable               to               ask               for               a               bank               draft               or               certified               check,               not               only               to               avoid               a               charge               for               a               rejected               deposit,               but               also               to               ensure               that               you               receive               your               payment.
               Charge               for               Stop               Payment               Orders
               When               you               write               a               check               and               send               it,               or               hand               it               over               to               the               payee,               and               subsequently               find               that               you               want               to               stop               the               payment,               due               to               breach               or               non-fulfillment               on               the               part               of               the               payee               of               the               conditions               under               which               you               issue               the               check,               or               when               you               lose               a               check               and               want               to               ensure               that               no               one               cashes               it,               you               can               place               a               stop               order               on               the               check.

The               bank               generally               charges               a               fee               for               this               service.
               By               taking               care               of               your               checkbook,               always               keeping               it               in               a               safe               place,               and               noting               all               the               checks               you               write,               you               can               avoid               the               need               to               request               a               stop               payment               order               for               a               lost               check.

It               may               be               more               difficult               to               avoid               the               need               to               issue               a               stop               payment               order               for               breach               or               non-fulfillment               on               the               part               of               the               payee,               but               in               this               case               it               is               better               to               incur               the               cost               of               issuing               the               stop               payment               order               and               not               lose               the               amount               of               the               check.
               Charge               for               Telephone               Inquiries
               The               bank               may               charge               you               when               you               call               to               inquire               about               your               balance               or               to               confirm               that               a               deposit               or               check               has               been               processed.

You               can               avoid               this               charge               by               using               the               online               banking               option,               where               you               can               see               your               balance               and               the               up-to-date               activity               in               your               account.
               Checking               Accounts               that               Pay               Interest
               There               are               checking               accounts               that               pay               interest               on               the               balance               maintained               in               the               account.

The               interest               you               earn               could               offset               some               or               all               of               the               charges               to               your               account,               and               could               even               generate               additional               income.

It               is               important               to               consider               all               the               conditions               as               a               whole               in               order               to               determine               whether               an               account               that               pays               interest               is               to               your               advantage,               taking               into               account               any               special               requirements               this               type               of               account               may               involve.

For               example,               for               a               checking               account               that               pays               interest,               it               may               be               necessary               to               maintain               a               minimum               balance               in               your               account.

If               the               charges               for               dropping               below               the               minimum               balance               are               higher               than               the               interest               you               could               earn,               considering               the               average               balance               you               can               maintain               in               your               account,               this               may               not               always               be               the               best               option.






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    2013년 11월 24일 일요일

    About 'costing systems accounting'|Project Cost Accounting







    About 'costing systems accounting'|Project Cost Accounting








    Introduction               Actual               cost               reporting               is               an               effective               method               of               cost               reporting               for               small               companies               with               low               sales               volume.

    However,               it               is               not               realistic               for               larger               companies               to               use               this               form               of               cost               reporting.

    As               smaller               companies               grow               they               must               recognize               that               a               formal               cost               management               system               is               necessary.

    In               order               to               examine               formal               integrated               cost               management               systems               it               is               necessary               to               define               cost               management               systems,               understand               the               scope               of               these               systems,               recognize               the               goals               of               these               systems,               and               consider               the               items               that               affect               the               design               of               these               systems.
                   Integrated               Cost               Management               Systems
                   A               cost               management               system               is               a               method               that               is               used               to               plan               and               control               the               decisions               an               organization               makes               regarding               cost               generating               activities,               in               order               to               lower               product               cost               and               increase               product               value               for               customers.

    Cost               management               systems               provide               information               that               helps               management               make               short-term               and               long-term               decisions               regarding               "amounts               and               kinds               of               materials               being               used,               changes               in               plant               processes,               and               changes               in               product               design"               (Horngren               et               al,               2006,               p.

    2-3).

    Ultimately,               cost               management               systems               are               used               to               help               make               decisions               that               will               increase               short-term               profit               and               improve               the               long-term               position               of               the               company.
                   Three               of               the               most               common               costing               systems               are               job               order               costing,               process               costing,               and               activity-based               costing               (ABC).

    Job               order               costing               is               used               by               companies               that               produce               products               for               specific               orders.

    This               type               of               system               estimates               the               costs               associated               with               producing               goods               for               different               jobs               (Atkinson               et.

    al.,               2005,               p.

    79).

    Process               costing               is               often               used               by               companies               that               operate               using               continuous               processing.

    This               type               of               system               applies               the               costs               of               production,               labor,               and               support               activities               as               the               goods               pass               through               the               different               process               stages               (Atkinson               et               al,               2005,               p.

    92-94).

    ABC               is               a               two-stage               method               of               allocating               costs.

    In               the               first               stage,               costs               are               allocated               to               pools               and               in               the               second               stage               the               cost               pools               are               allocated               to               products               or               services               (Edmonds               et               al,               2006,               p.

    233).
                   Cost               management               systems               cover               a               broad               scope               of               activities               and               "should               not               be               interpreted               to               mean               only               continuous               reduction               in               costs"               (Horngren               et               al,               2006,               p.

    3).

    These               systems               separate               product               costs               into               three               categories:               direct               material,               direct               labor,               and               overhead.

    However,               cost               management               systems               do               more               than               that.

    They               help               management               measure               various               cost               activities,               such               as               production               volume,               sales               volumes,               machine               hours,               manpower               hours,               volume               of               material               used,               etc.

    Using               the               information               provided               by               the               cost               management               system,               management               may               make               decisions               that               appear               to               increase               costs.

    For               example,               management               may               choose               to               increase               advertising               costs.

    This               increases               costs               initially,               but               the               goal               is               to               ultimately               improve               profit               later.
                   Items               that               Affect               the               Design               of               an               Integrated               Cost               Management               System
                   Motivation               -               A               company               must               first               set               organizational               goals,               and               then               create               measurements               to               determine               whether               those               goals               are               being               reached,               as               well               as               train               and               motivate               management               to               reach               those               goals.

    For               example,               management               may               look               at               prior               year               income               statements               and               note               that               net               income               increased               by               42%               from               2003               to               2004               and               45.54%               from               2004               to               2005.

    Based               on               that               information,               management               might               set               a               goal               to               increase               net               income               by               50%               from               2005               to               2006.

    Once               this               goal               has               been               set,               the               company               must               create               measurements               that               can               be               used               to               determine               throughout               the               year               whether               the               company               is               likely               to               meet               that               goal               at               year               end.

    In               addition,               the               company               must               provide               training               and               motivation               to               managers               in               order               to               increase               the               likelihood               of               reaching               the               goal.
                   Information               -               the               system               should               be               designed               so               that               it               provides               information               which               helps               management               plan,               control,               make               decisions,               and               evaluate               performance.

    For               example,               a               fruit               juice               company               may               decide               that               it               wants               to               evaluate               information               regarding               total               juice               costs,               as               well               as               apple               juice               costs               and               grape               juice               costs               separately.

    In               order               to               design               a               system               for               this               company,               requirements               would               include               the               ability               to               provide               information               on               unit               production,               production               costs,               unit               sales,               unit               sales               price,               total               sales               price,               and               cost               of               goods               sold.
                   Reporting               -               the               system               should               be               designed               so               that               it               provides               reports               with               the               necessary               information               in               a               manner               that               management               can               use               in               order               to               make               decisions.

    The               reporting               feature               of               any               system               is               of               great               importance.

    The               company               must               decide               how               the               information               should               be               presented               and               then               design               the               system               so               that               the               information               is               organized               and               displayed               in               the               manner               most               beneficial               to               management.
                   Conclusion
                   Actual               cost               reporting               may               work               for               smaller               companies,               but               as               a               company               grows               it               will               become               more               and               more               difficult               to               use               that               form               of               cost               reporting.

    An               integrated               cost               reporting               system               will               be               invaluable               to               the               company,               as               it               will               assist               management               with               planning,               controlling,               and               decision-making.
                   References
                   Atkinson,               A.A.,               Kaplan,               R.S.,               &               Young,               S.M.

    (2005).

    "Management               accounting."               (Custom               ed.).

    Upper               Saddle               River,               NJ:               Pearson               Custom               Publishing.
                   Edmonds,               C.D.,               Edmonds,               T.P.,               Olds,               P.R.,               &               Schneider,               N.W.

    (2006).

    "Fundamental               managerial               accounting               concepts."               (3rd               ed.).

    New               York:               McGraw-Hill               Irwin.
                   Horngren,               C.

    T.,               Datar,               S.

    M.,               &               Foster,               G.

    (2006).

    "Cost               Accounting:               A               managerial               emphasis."               (12th               ed.).

    Upper               Saddle               River,               NJ:               Pearson               Prentice               Hall.






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