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Refer to the chapter opener regarding David Schottenstein and his company, Astor and Black. All successful businesses track their costs, and it is especially important for start up businesses to monitor and control costs.
Required:
1. Assume that Astor and Black uses a job order costing system. For the basic cost category of direct materials, explain how a job cost sheet for Astor and Black would differ from a job cost sheet for a service company.
2. For the basic cost categories of direct labor and overhead, provide examples of the types of costs that would fall into each category for Astor and Black.
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