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Marcelino Co.'s March 31 inventory of raw materials is $80,000. Raw materials purchases in April are $560,000, and factory payroll cost in April is $376,000. Overhead costs incurred in April are: indirect materials, $55,000; indirect labor, $21,000; factory rent, $38,000; factory utilities, $24,000; and factory equipment depreciation, $59,000. The predetermined overhead rate is 50% of direct labor cost. Job 306 is sold for $640,000 cash in April. Costs of the three jobs worked on in April follow.

	Job 306				Job 307				Job 308
Balances on March 31
Direct materials		$	28,000			$	43,000
Direct labor			24,000				17,000
Applied overhead			12,000				8,500
Costs during April
Direct materials			139,000				215,000			$	105,000
Direct labor			101,000				151,000				103,000
Applied overhead			?				?				?
Status on April 30	Finished (sold)				Finished (unsold)					In process

Required: 1. Determine the total of each production cost incurred for April (direct labor, direct materials, and applied overhead), and the total cost assigned to each job (including the balances from March 31). Job 306 Job 307 Job 308 April Total $ 28,000 24,000 12,000 43,000 17,000 8,500 $ 71,000 41,000 20,500 From March Direct Materials Direct Labor Applied overhead Beginning goods in process For April Direct Materials Direct Labor Applied overhead Total costs added in April 139,000 101,000 215,000 151,000 105,000 103,000 459,000 355,000 Total costs (April 30) Finished (sold) Finished (unsold) In process Status on April 30 April 30 cost included in:

Answer 1

	Marcelino Co.'s
Ans		Job 306	Job 307	Job 308	April Total
	Direct Material	$                    28,000.00	$                          43,000.00		$       71,000.00
	Direct Labor	$                    24,000.00	$                          17,000.00		$       41,000.00
	Applied Overhead	$                    12,000.00	$                            8,500.00		$       20,500.00
	Beginning goods in process	$                    64,000.00	$                          68,500.00		$    1,32,500.00
	For April
	Direct Material	$                 1,39,000.00	$                      2,15,000.00	$ 1,05,000.00	$    4,59,000.00
	Direct Labor	$                 1,01,000.00	$                      1,51,000.00	$ 1,03,000.00	$    3,55,000.00
(*)	Applied Overhead(50% of Direct Labor cost)	$                    50,500.00	$                          75,500.00	$     51,500.00	$    1,77,500.00
	Total cost added in April	$                 2,90,500.00	$                      4,41,500.00	$ 2,59,500.00	$    9,91,500.00
(**)	Total cost April 30th	$                 3,54,500.00	$                      5,10,000.00	$ 2,59,500.00	$ 11,24,000.00
	April 30th	COGS	Finished goods unsold	WIP Inventory
(*)		($101000*50%)	($151000*50%)	($103000*50%)
(**)	Total cost April 30th	($64000+$290500)	($68500+$441500)	$259500)