Systems and methods of product costing

Product costing is a tool for planning costs and establishing prices for materials. It is used to calculate the costs of goods manufactured and the costs of goods sold for each product unit.

4.1 Product costing and its systems.
4.2 The process of product costing.
4.3 Allocating indirect costs.
4.3.1 Primary allocation of indirect costs to analysis centers.
4.3.2 Secondary allocating of indirect costs to products.
4.4 Calculating a predetermined overhead rate.