(L. OBJ. 1, 2, 3, 4) Analyzing cost data [25—35 min] Hartley Manufacturing makes carryi...

(L. OBJ. 1, 2, 3, 4) Analyzing cost data [25—35 min]

Hartley Manufacturing makes carrying cases for portable electronic devices. It’s costing records yield the following information:

Requirements

1. Which type of costing system is Hartley using? What piece of data did you base your answer on?

2. Using the dates above to identify the status of each job, compute Hartley’s account balances at October 31 for Work in process inventory, Finished goods inventory, and Cost of goods sold. Compute account balances at November 30 for Work in process inventory, Finished goods inventory, and Cost of goods sold.

3. Record summary journal entries for the transfer of completed units from work in process to finished goods for October and November.

4. Record the sale of Job 3 for $3,000.

5. What is the gross profit for Job 3? What other costs must chis gross profit cover?