Despite Paint Manufacturers Providing Discussion

Despite Paint Manufacturers Providing Discussion

Initial question

Using the GCU Library, locate a journal article about job-costing systems or how managerial accounting helps businesses make decisions. In the subject line of your post, include the name of the article that you read. Post a link to that article with your initial post, and provide a summary and a reaction to the article. The summary should be approximately 250 words, and the reaction should be approximately 150 words. The summary should describe the major points of the article, and the reaction should demonstrate your interpretation of the article and how you can apply that knowledge. Do not choose an article that one of your classmates has already posted. To participate in follow-up discussion, choose one of the articles that a classmate has posted and provide your own reaction to it. Note: It may be challenging to find a relevant article if you do not use the library.

Please include proper citations in your discussion post. Points will be deducted if proper citations are not used.

My post

Compton, (2014) offers a basic management system useful for repair shop owners with regards to job costing. The suggestions made in the article are that owners who lose money on paint and materials (P&M) or making a standard margin on P&M run a report. Compton, (2014) suggests that repair order (RO) cost be based on a paint mixing system that offers a summary of P&M on the basis of volume, paint manufacturer variety, and present the reports in an easy format. Compton, (2014) highlights the problems surrounding P&M margins in the cost side. To avoid the problem with costing of P&M for repair orders, Compton, (2014) suggests mixing the liquid products on a scale as the basis of job costing. The article suggests that is to save reports on paint mixing systems and compare with the sales reports to ascertain the differences in gallon usage. Another suggestion is to the sales reports to sort P&M liquids, associated products that are not measured on the scale, and all other components. Using a constant of 70% as the liquid figure, RO costs can be estimated Compton, (2014). Further, Compton, (2014) goes to show the importance of mixing on the scale. As a form of lean material management, mixing all P&M on a scale is a great job costing tool. However, Compton, (2014) emphasizes on the importance of validating the results to ensure that the mixing is 100% on the scale. Despite paint manufacturers providing job costing programs, they are incomparable to the importance of mixing on the scale. In an effort to guarantee lean material management, Compton, (2014) suggests mixing everything on the scale and making periodicals validations of the results.


The importance of P&M in repair orders cannot be disputed, making it crucial for a business to be aware of sales, P&M profitability, and effective use of materials to avoid significantly impacting the bottom line. Compton, (2014) suggestions are based on establishing standard operating procedures which will enable the business to establish frameworks for costs and sales. There are numerous fundamental points made in the article: first, the importance of mixing on the scale, generating P&M reports from mixing and using a 70% standard to ascertain RO costs, as well as the importance of lean material management beyond manufacturer provided options. Compton, (2014) sufficiently covers the numerous aspects of lean material management. The suggestions made on the article, for instance, establishing business formulated job costing programs, comparing sales and costs to ascertain disparities, involving various stakeholders, measuring and sharing the results, all fulfill the requirements of lean material management. The article offers RO job costing perspective which businesses can use to ensure success in P&M management.

Response from another student (reply to this one, using one reference, APA 200 words or more)

Great post! This was an interesting article. I agree that it is important for repair shop to have a framework for cost and sales by establishing standard operating procedures. Also, I agree that a company should stay above the bottom line. Once a company identify the organization’s operational expenses it is important to ensure that those expenses are met with ease. Painters that paint homes would benefit from using these same tools to identify paint cost and labor expenses to set a bottom line. Identifying the bottom line will assist business owners determine the profit amount from each individuals job.

Initial questionUsing the GCU Library, locate a journal article about job-costing systems or how managerial accounting helps businesses make decisions. In the subject line of your post, include the name

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