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In this video we×39’re going to Talbot job ob order costing so when a firm has multiple different products let's say firm that manufactures playground equipment the firm has to use job order costing when determining its costs owlet×39’s just compare and contrast Thor Ara moment with a firm that just has homogeneous project a product such soil right, so all oil is basically the same right oil is oil and so if a firm just is dealing with oil then they really they use a process costing system they don't have to worry about specific cost for each job or each time someone orders a batch of oil or certain amount of oil they're done×39’t have Togo and cost it out it's all basically handled the same way but when a firm has for example different products such as playground and like a slide and tenthly×39’ve got win, Anand they've got different things so the firm can×39’treat theses all is just the exact same product right they have different cloths it might be that the slide uses entirely different raw materials takes different amount of labor and everything to build it than a set of swings right but oilcan just all be just kind of treated the same so oil we'd be talking about process costing system will through deal with another video, but something like playground equipment or any kind of firmness dealing with different products right so different products we've got job order costing and that the idea it×39;just being what kind of product is it homogeneous or is it different so different we×39’re going to use job order costing and we×39’re going to come outwith little thing called a job cost sheet right so if someone says hey I want to slide I want to order a slide we×39;redoing to we're going to generate a job cost sheet so let me just give you an idea of what this would look like we×39’ll just say job cost sheet and in that job cost sheet we're going to have several things but things we will definitely have we're going to have a section forth direct materials or raw materials×39’ll just abbreviate that direct labor×39’ll just abbreviate that anthem manufacturing overhead that is being applied okay now again we're going to talk about applied manufacturing overhead because we won×39’t know what the actual overheads till the end of the period typically so in our job cost sheet we've got these three things and that×39’s going to come out with a cost for the job right if someone says hey I want this slide be nice thing if we could sit down and figure ok what would actually cost forms to make this slide so let×39’s let'actually put some numbers to these anklets×39’s say let's call this job a 237 sowed×39’ll catharsis is job cost sheet for a 237 job a 237 right there be a job 238 might be a set of swings and by there is a 237 and we×39’re going to cost this out so let's say that we take look and the raw materials for this job there are a thousand dollars right now the direct labor we say ok well it took to build this slide let×39’s say it took 50hours 50...
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