COST ACCOUNTING HOMEWORK help

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The cost accounting homework can be easily done with the help of examples such as :-

Cost object: Type of car assembled (Corolla or Geo Prism)

Cost variability: With respect to changes in the number of cars assembled

There may be some debate over classifications of individual items, especially with regard to cost variability, which is truly acceptable in the case o f cost accounting homework.

Variable costs and fixed costs are given in the problem. Similarly  Fixed costs per month are also given. From this with the help of cost accounting homework, one can find out various account related parameters.

Important points which should be noted is that  in cost accounting homework the sales manager’s salary would be charged as a marketing cost as incurred by both manufacturing and merchandising companies. It is basically an operating cost that appears below the gross margin line on an income statement. In contrast, an assembler’s wages would be assigned to the products worked on. Thus, the wages cost would be charged to Work in process and would not be expensed until the product is transferred through Finished Goods Inventory to Cost of Goods Sold as the product is sold.

Similarly in cost accounting homework, The direct-indirect distinction can be resolved only with respect to a particular cost object.  For example, in defense contracting, the cost object may be defined as a contract. Then, a plant supervisor working only on that contract will have his or her salary charged directly and wholly to that single contract.

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