GEMEINEKOSTENWERTANALYSE OVERHEAD MANUFACTURING COSTS

This is very important for Job Order* and Process Costing. It is tough to allocate the many miscellaneous costs which are attributed to the manufactur of goods.

Costs which can not be directly traceable

These include a combination of both fixed and variable costs:

Indirect Labor

Factory Insurance

Factory Rent

For simplicity of paperwork, an estimated amount of overhead (OH) may be calculated and charged to jobs or products:

Estimated total MFG OH / Estimated total units MFG = Predetermined OH Rate

Once this rate is known, it may be allocated:

Predetermined OH rate * Actual Labour Hours = Applied OH