Question

Aquazona Pool Company is a custom pool builder. The company recently completed a pool for the Drayna family (Job 1324) as summarized on the incomplete job cost sheet below. Assume the company bids its pools at total manufacturing cost plus an additional 36 percent. Job Numbers 1324 Date Startedt 7/5/2018 Date Completedi 8/30/2018 Description: Dayna Pool Direct Materials Manufacturing Overhead Hours Rate MR 3345 $1.500 PR 337 4263 MR 5236 Direct Materials Direct Labor Cost Applied Manufacturing Overhead Total Cost The company applies overhead to jobs at a rate of $970 per direct labor hour Required: Prepare journal entries to record cost of goods sold and sales revenue for Job 1324. Assume the total cost of Job 1324 is currently in the Finished Goods twentory Account and that the Draynas paid for the pool with cash. If no entry is required for a transaction/event, select "No Journal Entry Required in the first account field. Round your answers to 2 decimal places.) View transaction list Journal entry worksheet Record the cost of goods sold. < Prey 3 of 5 Next >

Answer 1

Total Cost of Job 1324:
	Amount $
Direct Materials	7520.0
Direct Labor	3142.8
Manuf. Overhead	1571.4		(162*9.70)
Total Cost	$12,234.2
Req 1) Journal Entry for Cost of Goods Sold:
Accounts Title	Debit $	Credit $
Cost of Goods Sold	12234.2
Finished Goods Inventory		12234.2
(being COGS for Job 1324 recorded)