Job costing, normal and actual costing. Anderson Construction assembles residential houses. It uses.

Job costing, normal and actual costing. Anderson Construction assembles residential houses. It uses a job-costing system with two direct-cost categories (direct materials and direct labor) and one indirect-cost pool (assembly support). Direct labor-hours is the allocation base for assembly support costs. In December 2007, Anderson budgets 2008 assembly-support costs to be $8,000,000 and 2008 direct labor- hours to be 160,000.