company . 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 2019, dubai Construction Co. budgets 2020 assembly-support costs to be 8,300,000 and 2020 direct labor-hours to be 166,000.

At the end of 2020, comparing the costs of several jobs that were started and completed in 2020.

	Standard Apartments	Premium Apartments
Construction period	February-June 2020	May-October 2020
Direct material costs	106,760	127,550
Direct labor costs	36,950	41,320
Direct labor-hours	960	1,050

Direct materials and direct labor are paid for on a contract basis. The costs of each item are known when direct materials are used or when direct labor-hours are worked. The 2020 actual assembly-support costs were 6,520,000, and the actual direct labor-hours were 163,000.

Required:

1. Evaluate the job costs of the Standard Apartments and the Premium Apartments using:
   1. normal costing, and
   2. actual costing.

2. Give your recommendations on the preferable costing method for company

3. Explain the attributes of the effective system of budgetary control.