Overhead is an unavoidable cost in production and service-oriented businesses. Unlike direct costs such as production employee wages and materials that can be applied directly to production or service ...

Special order manufacturers and construction companies often assign direct and indirect expenses using job-order costing. A main reason is that assigning expenses on a per-job basis makes production ...

Overhead allocation is a source of great disagreement in our industry. Should the allocation be based on job price? On job cost? Per project? Or per field man-hour. We understand the pros and cons of ...

Product costing is a methodology associated with managerial accounting, i.e., accounting intended to serve management in an operational context rather than to measure corporate performance as such, ...