JOB AND CONTRACT COSTING

Prepared by:
PRABHJOT KAUR
AMANPREET KAUR
KANUPRIYA MALHOTRA
RUCHI PURI
POONAM NIMORIA
MEHAK JHAMB
 JOB COSTING

A cost system in which it is necessary to keep a

record of each lot of products or jobs from the
time the work on the job or product begins till it is
completed.

A separate job card or job sheet is maintained for

each job or product in which all expenses of
materials, labour, overheads are entered and cost
of completing a job or manufacturing a product is
found out.
 OBJECTIVES OF JOB COSTING

•Finding out the cost of production

•More accurate estimates about the cost
•Control operational inefficiency

A system of job costing should be adopted after

considering the following two factors:
A) Each order or job should be continuously identifiable
from the raw material stage to the stage of completion.
B) The system is very expensive because it requires a lot
of clerical work in estimating costs, designing and
scheduling of production. It should, therefore, be
adopted when absolutely warranted.
THANK
YOU