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Which of the following would usually be found on a job cost sheet under a normal cost system?

1) Actual direct material cost - Yes, Actual manufacturing overhead cost - Yes
2) Actual direct material cost - Yes, Actual manufacturing overhead cost - No
3) Actual direct material cost - No, Actual manufacturing overhead cost - Yes
4) Actual direct material cost - No, Actual manufacturing overhead cost - No

User Andriod
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1 Answer

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Final answer:

A job cost sheet under a normal cost system typically includes the actual direct material cost and applied manufacturing overhead cost, not the actual manufacturing overhead cost.

Step-by-step explanation:

Under a normal cost system, a job cost sheet would usually include the actual direct material cost and the applied, not actual, manufacturing overhead cost based on a predetermined rate. So, the correct answer to which items would usually be found on a job cost sheet is 'Actual direct material cost - Yes, Actual manufacturing overhead cost - No.' This approach helps companies assign costs to individual jobs more consistently and allows for the separation of costs into fixed and variable components, which, in turn, is crucial in understanding concepts like average total cost, average variable cost, and marginal cost. Under a normal cost system, the job cost sheet would usually include both the actual direct material cost and the actual manufacturing overhead cost. Therefore, option 1) Actual direct material cost - Yes, Actual manufacturing overhead cost - Yes, would be the correct answer.

User PRaNaY
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