| Clock card | Source document used to record the number of hours an employee works and to determine the total labor cost for each pay period.
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| Cost accounting system | Accounting system for manufacturing activities based on the perpetual inventory system.
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| Finished Goods Inventory | Account that controls the finished goods files, which acts as a subsidiary ledger (of the Inventory account) in which the costs of finished goods that are ready for sale are recorded.
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| General accounting system | Accounting system for manufacturing activities based on the periodic inventory system.
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| Goods in Process Inventory | Account in which costs are accumulated for products that are in the process of being produced but are not yet complete; also called work in process inventory.
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| Job | Production of a customized product or service.
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| Job cost sheet | Separate record maintained for each job.
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| Job lot | Production of more than one unit of a customized product or service.
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| Job order cost accounting system | Cost accounting system to determine the cost of producing each job or job lot.
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| Job order production | Production of special-order products; also called customized production.
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| Materials ledger card | Perpetual record updated each time units are purchased or issued for production use.
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| Materials requisition | Source document production managers use to request materials for production; used to assign materials costs to specific jobs or overhead.
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| Overapplied overhead | Amount by which the overhead applied to production in a period using the predetermined overhead rate exceeds the actual overhead incurred in a period.
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| Predetermined overhead rate | Rate established prior to the beginning of a period that relates estimated overhead to another variable, such as estimated direct labor, and is used to assign overhead cost to production.
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| Process operations | Mass production of products in a continuous flow of steps.
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| Receiving report | Form used to report that ordered goods are received and to describe their quantity and condition.
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| Target cost | Maximum allowable cost for a product or service; defined as expected selling price less the desired profit.
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| Time ticket | Source document used to report the time an employee spent working on a job or on overhead activities and then to determine the amount of direct labor to charge to the job or the amount of indirect labor to charge to overhead.
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| Underapplied overhead | Amount by which overhead incurred in a period exceeds the overhead applied to that period's production using the predetermined overhead rate.
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