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Key Terms
Instructions: Please define the following key terms. Show Who? What? Where? When? Why Important?
notables
Job-Order Costing System
A costing method that accumulates costs per job rather than process, suitable for firms that produce goods to specific customer orders.
Predetermined Overhead Rate
An estimated rate used to allocate manufacturing overhead to individual products or job orders based on a selected activity base.
Machine-Hours
A measure of the amount of time machines are operating during the production process, often used for allocating manufacturing overhead.
Job-Order Costing System
A cost accounting system that accumulates costs individually for each job, suitable for entities producing customized products or services.
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