JLR Enterprises provides consulting services throughout California and uses a job-order costing system to accumulate the cost of client projects. Traceable costs are charged directly to individual clients; in contrast, other costs incurred by JLR, but not identifiable with specific clients, are charged to jobs by using a predetermined overhead ... Direct labor cost is a part of wage-bill or payroll that can be specifically and consistently assigned to or associated with the manufacture of a product, a particular work order, or provision of a service.
Aug 03, 2011 · – In the traditional system, a few allocation bases are used to allocate overhead costs, whereas ABC system uses many drivers as allocation basis. – Traditional method allocates overheads first to the individual departments, whereas activity based costing assigns over heads to each activity first.
Aug 05, 2010 · Pietra-Gonatas, Inc. uses process costing to account for the costs of its only product, product D. Production takes place in three departments; Fabrication, Assembly, and Packaging. At the end of the fiscal year, June 30, the following inventory of product D is on hand: