Pricing is essential for a business to succeed.

In Pricing, we goal to obtain a given share of the market.

Job Order Costing is used for companies that produce different products each period.

Costing helps to decide whether a product is worth making.

Pricing the product affects the profitability of the business operations

The Economist's Model states that the basis is on the principle of scarcity of resources and rationality of men.

Product Pricing is a strategic matter

Target Pricing base its prices on government regulations or implied agreements among key players in the market

Skimming Pricing is most applicable in a buyer's market

The process of analyzing all costs involved in creating products.

The process of assigning a selling price to a good or service

The way a cost changes in relation to change in business activity

Cost that remain constant even if level of production or activity level changes

Cost that change in direct proportion to the activity level of production

Raw materials used to make a finished product

Supplies that will be consumed in the production process

The work required to convert raw materials into a finished product and is determined by the hourly wage

Helps to determine whether one can sell for a reasonable price.

Remains the same regardless of the number o f the units produced

That is usually expressed in non-monetary terms i.e free goods

This cost describes that if production increases, variable cost increase

Used by companies with multiple unique products that generally have a low to moderate annual production volume

Used for companies that produce many identical units of a single product for long periods of time

A document used as a source to update stock account

This model resides on the psychology of the market participants such that if product offers utility and value, buyers are willing to pay for more, otherwise, the market would absorb the product if the price is lowered,

A price is established over the life span of a product.

The seller influence the level of pricing and normally sets the price at a higher level

Costs become target for improvement-reducing the cost

Anchored on the universal and basic laws of supply and demand.

Record direct labor hours used in production and support direct labor costs charged to each jon

Request materials for production and support direct materials cost charged to each job.

An inventory account that includes all the direct materials, direct labor and manufacturing head costs added to the manufacturing process

A document that summarizes all the key information about the job, accumulate total direct materials costs, total direct labor costs and overhead costs applied to the job.

The things to be done first upon receiving raw materials is/are. . .

The fundamental procedures in recording raw materials include. . .

Products / Service that fall under Process Costing is/are. . .

Products / Service that fall under Job Order Costing is/are. . .