Question

QS 15-10 Manufacturing cost flows LO P1, P2, P3 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 47% of direct materials costs. During the month, the jobs used direct materials as shown below. Job 1 Job 2 Job 3 Direct materials used $5,800 $7,800 $2,300 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 Job 1 Job 2 Job 3 $11,500 $5,000 $4,000 Direct labor used 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 1 Job 2 Job 3 Direct materials $ $ 7,800 $ 2,300 5,800 Direct labor 11,500 5,000 4,000 Factory overhead 2,726 3,666 1,081 Total 20,026 $ 16,466 $ 7,381

Answer 1

1) Job Cost sheet

	Job 1	Job 2	Job 3
Direct material	5800	7800	2300
Direct labor	11500	5000	4000
Overhead applied	2726	3666	1081
Total Cost	20026	16466	7381

2) Ending work in process = 20026+7381 = 27407

3) Finished goods inventory = 16466