ACC510 Accounting week 3 Discussion #1 and #2
Read
Chapter 4
https://online.vitalsource.com/#/books/9781259730061/cfi/6/34!/4/2/2/2@0:0
Review
Chapters 4 and 4a slides
Video: Predetermined Overhead Rate https://www.youtube.com/watch?v=qrnTwV2zbPM
How to Calculate Predetermined Overhead Rate Machine Hours https://smallbusiness.chron.com/calculate-predetermined-overhead-rate-machine-hours-38399.html
What is a predetermined overhead rate? https://www.accountingtools.com/articles/what-is-a-predetermined-overhead-rate.html
W3 Lecture
https://lms.grantham.edu/webapps/blackboard/content/listContent.jsp?course_id=_60627_1&content_id=_5014143_1&mode=reset
W3 Discussion #1
Accounting
Now that we have a better understanding of job costing, lets take an example from our childhood entrepreneurial endeavors (running a lemonade stand or neighborhood lawn mowing services, making crafts to sell at a local crafts fair, babysitting, etc.). Imagine these products and services as businesses, in which you are the manager with several teenagers as your employees.
In your initial post, define the jobs in job costing. Explain how you would measure direct materials cost, direct labor cost, and compute predetermined overhead rates.
What are your actual manufacturing overhead costs, and why arent they traced to jobs, just as direct materials and direct labor are traced to jobs?
Give reasons why overhead might be under-applied or over-applied in a given year.
What factors should be considered in selecting a base to be used in computing the predetermined overhead rate? Why?
When you read the posts submitted by your peers, provide feedback explaining what you would have done differently. Ask for clarification regarding their definitions or decisions that seem unclear to you. Identify areas where you concur with their thinking.
W3 Discussion #2
Accounting
This week, you were asked to access a number of videos and websites. These are great resources to help you learn the materials this week. Consider what type of resource you find most helpful in learning new materials (videos, examples, text, etc). Then consider which topic you struggled with the most this week. Complete an online search for a new resource that will help you with that topic. For example, if you learn best from videos and you struggled with the topic double entry accounting, then complete an online search for double entry accounting videos. If you learn best by examples, search for double entry accounting examples. Select one of the items you find in your search that you found particularly helpful in learning the topic you struggled with the most and post a summary of the resource and a link to the resource.
INITIAL POST
Cite and summarize the resource.
FOLLOW UP POSTS
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