Tuesday 30 October 2012

Accounting of Job Costing


Accounting of Job Costing


1.Unique Job Account


Each work is assigned a unique code and all expenditure are charged to that job.

2.Job under Process


Job under process is maintained in work in progress ledger with a unique account and all related expenditure to that job is charged to that account.


3.Job Finished


Finished job is transferred to finished Good. The amount transferred to finished good indicate the cost incurred on a job.


4.Sale


Job are transferred to cost of good sold on sale and sale transaction is also entered in books of account.


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