a) Predetermined overhead rate = Total manufacturing overhead costs/ direct laboour Cost | |||
Predetermined overhead rate = $915600/$763000 | 120.00% | ||
b) | |||
Account Titles and Explanation | Debit | Credit | |
1) | |||
Raw Materials Inventory | $ 98,100.00 | ||
Accounts Payable | $ 98,100.00 | ||
2) | |||
Factory Labor | $ 76,300.00 | ||
Factory Wages Payable | $ 58,860.00 | ||
Employer Payroll Taxes Payable | $ 17,440.00 | ||
3) | |||
Manufacturing Overhead | $ 70,850.00 | ||
Accounts Payable | $ 17,440.00 | ||
Accumulated Depreciation | $ 13,080.00 | ||
Raw Materials Inventory | $ 18,530.00 | ||
Factory Labor | $ 21,800.00 | ||
c) | |||
1) | |||
Work in Process Inventory | $ 86,110.00 | ||
Raw Materials Inventory ($10900 + $42510 + $32700) | $ 86,110.00 | ||
Work in Process Inventory | $ 54,500.00 | ||
Factory Labor ($5,450 + $27,250 + $21800) | $ 54,500.00 | ||
Work in Process Inventory | $ 65,400.00 | ||
Manufacturing Overhead ($54,500 X 120% of direct labor costs) | $ 65,400.00 | ||
d) | |||
Job Cost Sheets | |||
Job No. 50 | |||
Date | Direct Materials | Direct Labor | Manufacturing Overhead |
Beg. | $ 21,800.00 | $ 13,080.00 | $ 17,440.00 |
Jan. | $ 10,900.00 | $ 5,450.00 | $ 6,540.00 |
Total | $ 32,700.00 | $ 18,530.00 | $ 23,980.00 |
Cost of completed job | |||
Direct materials | $ 32,700.00 | ||
Direct labor | $ 18,530.00 | ||
Manufacturing overhead | $ 23,980.00 | ||
Total cost | $ 75,210.00 | ||
Job No. 51 | |||
Date | Direct Materials | Direct Labor | Manufacturing Overhead |
Jan. | $ 42,510.00 | $ 27,250.00 | $ 32,700.00 |
Cost of completed job | |||
Direct materials | $ 42,510.00 | ||
Direct labor | $ 27,250.00 | ||
Manufacturing overhead | $ 32,700.00 | ||
Total cost | $ 102,460.00 | ||
Job No. 52 | |||
Date | Direct Materials | Direct Labor | Manufacturing Overhead |
Jan. | $ 32,700.00 | $ 21,800.00 | $ 26,160.00 |
e) | Debit | Credit | |
Finished Goods Inventory (75,210 + 102,460) | $ 177,670.00 | ||
Work in Process Inventory | $ 177,670.00 | ||
f) | |||
Cost of Goods Sold (98100 + 75210) | $ 173,310.00 | ||
Finished Goods Inventory | $ 173,310.00 | ||
Accounts Receivable (132980 + 172,220) | $ 305,200.00 | ||
Sales | $ 305,200.00 | ||
g) | |||
Finished Goods Inventory | |||
Beginning Bal. | $ 98,100.00 | ||
Cost of completed jobs 50 and 51 | $ 177,670.00 | ||
Less: Cost of jobs 49 and 50 sold | $ 173,310.00 | ||
Ending Balance | $ 102,460.00 | ||
The balance in this account consists of the cost of completed Job No. 51 which has not yet been sold. | |||
h) | |||
Manufacturing Overhead = $70,850 (Actual) - $65400(applied) | $ 5,450.00 | ||
The balance in the Manufacturing Overhead account is underapplied. |
|||
CALCULATOR MESSAGE HY INSTRUCTOR FUL SCREEN PRINTER VERSION BACK NEXT Lott Company uses a job order...
Lott Company uses a job order cost system and applies overhead to production on the basis of direct labor costs. On January 1, 2017, Job No. 50 was the only job in process. The costs incurred prior to January 1 on this job were as follows: direct materials $23,200, direct labor $13,920, and manufacturing overhead S18,560. As of January 1, Job No. 49 had been completed at a cost of S104,400 and was part of finished goods inventory. There was...
Lott Company uses a job order cost system and applies overhead to production on the basis of direct labor costs. On January 1, 2020, Job 50 was the only job in process. The costs incurred prior to January 1 on this job were as follows: direct materials $21,800, direct labor $13,080, and manufacturing overhead $17,440. As of January 1, Job 49 had been completed at a cost of $98,100 and was part of finished goods inventory. There was a $16,350...
Problem 2-1A (Video) Lott Company uses a job order cost system and applies overhead to production on the basis of direct labor costs. On January 1, 2020, Job 50 was the only job in process. The costs incurred prior to January 1 on this job were as follows: direct materials $21,800, direct labor $13,080, and manufacturing overhead $17,440. As of January 1, Job 49 had been completed at a cost of $98,100 and was part of finished goods inventory. There...
Lott company uses a
Problem 2-1A (Video) Lott Company uses a job order cost system and applies overhead to production on the basis of direct labor costs. On January 1, 2020, Job 50 was the only job in process. The costs incurred prior to January 1 on this job were as follows: direct materials $22,000, direct labor $13,200, and manufacturing overhead $17,600. As of January 1, Job 49 had been completed at a cost of $99,000 and was part of...
CALCULATOR STANDARD VIEW PRINTER VERSION BACK Problem 15-01A Lott Company uses a job order cost system and applies overhead to production on the basis of direct labor costs. On January 1, 2020, Job 50 was the only job in process. The costs incurred prio January 1 on this job were as follows: direct materials $23,800, direct labor $14,280, and manufacturing overhead $19,040. As of January 1, Job 49 had been completed at a cost of $107,100 aw was part of...
Problem 2-1A (Video)
Lott Company uses a job order cost system and applies overhead to
production on the basis of direct labor costs. On January 1, 2020,
Job 50 was the only job in process. The costs incurred prior to
January 1 on this job were as follows: direct materials $20,600,
direct labor $12,360, and manufacturing overhead $16,480. As of
January 1, Job 49 had been completed at a cost of $92,700 and was
part of finished goods inventory. There...
Problem 2-1A Lott Company uses a job order cost system and applies overhead to production on the basis of direct labor costs. On January 1, 2017, Job No. 50 was the only job in process. The costs incurred prior to January 1 on this job were as follows: direct materials $20,200, direct labor $12,120, and manufacturing overhead $16,160. As of January 1, Job No. 49 had been completed at a cost of $90,900 and was part of finished goods inventory....
Problem 2-1A (Video) Latt Company uses a job order cost system and applies overhead to production on the basis of direct labor costs. On January 1, 2020, Jab 50 was the only job in process. The costs incurred prior to January 1 on this job were as follows: direct materials $20,600, direct labar $12,360, and manufacturing overhead $16,480. As of January 1, Job 49 had been carnpleted at a cost of $92,700 and was part of finished goods inventory. There...
Lott Company uses a job order cost system and applies overhead to production on the basis of direct labor costs. On January 1, 2017, Job No. 50 was the only job in process. The costs incurred prior to January 1 on this job were as follows: direct materials $20,400, direct labor $12,240, and manufacturing overhead $16,320. As of January 1, Job No. 49 had been completed at a cost of $91,800 and was part of finished goods inventory. There was...
I need help! The red ones are incorrect.
Lott Company uses a job order cost system and applies overhead to production on the basis of direct labor costs. On January 1, 2017, Job No. 50 was the only job in process. The costs incurred prior to January 1 on this job were as follows: direct materials $23,200, direct labor $13,920, and manufacturing overhead $18,560. As of January 1, Job No. 49 had been completed at a cost of $104,400 and...