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Prepared byDiane TannerUniversity of North Florida

Chapter 17

Hybrid Costing

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Assigning Costs to Cost Objects Direct materials –Traced Direct labor – Traced Manufacturing overhead - Allocated

Direct materials – Allocated Direct labor – Allocated Manufacturing overhead - Allocated

Unique

Homogeneous

Job Costing

Process Costing Direct materials –Traced Direct labor – Allocated Manufacturing overhead

- Allocated

Operation Costing

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Operation Costing Method A common type of hybrid-costing system The same conversion of costs (labor and

overhead costs) with materials that differ between products

Examples http://

www.hunts.com/products/tomatoes/tomato-sauce Only the materials (ingredients) differ

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The End