Question: Job order cost accounting is frequently used by home builders.
Required :1. You (or your team) are to prepare a job cost sheet for a single-family home under construction. List four items of both direct materials and direct labor. Explain how you think overhead should be applied.
2. Contact a builder and compare your job cost sheet to this builder's job cost sheet. If possible, speak to that company's accountant. Write your findings in a short report.