Question

Check On March 1 a dressmaker starts work on three custom-designed wedding dresses. The company uses job order costing and applies overhead to each job (dress) at the rate of 54% of direct materials costs. During the month, the jobs used direct materials as shown below. Job 1 Job 2 Job 3 $5,900 $7,900 $2,400 Direct materials used During the month, the jobs used direct labor as shown below. Jobs 1 and 3 are not finished by the end of March, and Job 2 is finished but not sold by the end of March Direct labor used Job 1 Job 2 Job 3 $11,100 $6,000 $5,000 1. Determine the amounts of direct materials, direct labor, and factory overhead applied that would be reported on job cost sheets for each of the three jobs for March JOB COST SHEET Job Job 2 Job 3 Direct materials Direct labor Factory overhead

Answer 1

Ans 1 Job Cost Sheet Direct Materials Direct Labor Factory Overhead Job 1 Job 2 Job 3 $5,900 $7,900 $2,400 $11,100 $6,000 $5,000 $3,186 $4,266 $1,296 [$5900 x 54%] [$7900 x 54%] ($2400 x 54%] $20,186 $18,166 $8,696 Total Ans 2 Work in Progress Job 1 Job 3 Work in Progress $20,186 $8,696 $28,882 Ans 3 Finished Goods Inventory $18,166