Cost Acct Wed 1.21 Chap. 4

Grading on Assignments:
- To receive full 12 points for muscle, a score of 100% is required.
- No due date extension is allowed.
Homework Due Dates:
- Assignments due on Sunday nights and Tuesday nights.
- Homework is available from Friday onwards for weekend study.
- Students are advised not to wait until the due date to complete assignments.
Exams Details:
- Exam Format:
- Exams 1 and 2 are paper exams conducted face-to-face.
- Students will be grouped in a room with adequate spacing.
- Exam Schedule:
- Scheduled for either Friday evening or Saturday afternoon.
- A two to three hour break is provided between different exams to avoid scheduling conflicts.
- Duration: Each exam lasts for 1.5 hours.
- Materials Needed:
- Scantron must be present for exams.
- A four-function calculator is required (add, subtract, multiply, divide; additional features like square root or percent may be useful).
- Backup calculator is recommended; inexpensive options available at stores.
Exam Structure:
- Approximately 40% of the content will be multiple choice.
- 60% will consist of problems, and partial credit is given based on shown work and closeness to the correct answer.
- Students encouraged to show work for partial credit eligibility.

Journal Entry Format:
- Proper format requires debits listed first followed by credits, which should be indented.
Homework Assignments:
- Homework due dates typically set for 11:55 PM.
- Homework for chapters five and six is tied to Assessment 2.
- Strike a balance between conducting problems together in class and working independently at home.
Specific Homework Details:
- Chapter 4 homework contains 7 problems, and solutions for checking are available.
- Students encouraged to use solutions only after attempting problems independently.

Course Materials:
- PowerPoint presentations available for each chapter.
- Notes and problem shelves created for student reference and practice
- Solutions to problem shelves available for self-checking.
Video Resources:
- Recorded videos of previous semesters can be accessed for missed classes.

Emergency Communication:
- Students must complete emergency contact information in PeopleSoft for weather-related notifications.
- If severe weather affects class, email notifications will be sent regarding class status.
- If the university closes, classes will not be held, even virtually via Zoom.
Class Participation:
- Encourage collaboration among students for problem-solving.
- Students advised to exchange contact information with peers for group work and support.

Costing Method Overview:
- Focus on unit-based product costing where overhead is divided into variable and fixed portions.
Actual vs. Normal Costing:
- In actual costing, the cost per unit is only determined at the end of the accounting period.
- Normal costing involves calculating a predetermined overhead rate at the start of the year:
- Formula: ext{Overhead Rate} = \frac{ ext{Budgeted Annual Overhead}}{ ext{Budgeted Annual Driver Level}}
- Applies overhead throughout the year based on completion of products and calculated rates.
Overhead Variance:
- Difference between actual overhead incurred and applied overhead.
- Journal entries detailed for both incurred and applied overhead, highlighting necessary accounts:
- Overhead Incurred: Debit items like utilities payable, accounts payable, or cash;
- Applied Overhead: Debit work in process, credit factory overhead.
Types of Overhead Rates:
- Can utilize a plant-wide rate or departmental rates:
- Plant-wide: single rate for the entire factory.
- Departmental: unique rates for each department (e.g., direct labor, machine hours).
Headers and Terminology Use:
- Specify whether the overhead variance is over or under-applied within financial statements.
- Indicate the balance type clearly (e.g., under-applied or over-applied).