Remaining Time 1 hour 53 minutes 50 QUESTION 6 Roy Mendingho

Remaining Time: 1 hour, 53 minutes, 50 QUESTION 6 Roy Mendinghouse Company employs a job order cost accounting syst the first month of operations: em and keeps perpetual inventory records. The following transactions ocourred in 1. Direct materials requisitioned during the month: Job 101 Job 102 Job 103 $20,000 16,000 2. Direct labor incurred and charged to jobs during the month was Job 101 Job 102 Job 103 $32,000 28,000 3 4. 5. Manufacturing overhead was applied to obs worked on using a predetermined overhead rate based on 75% of direct labor costs. Actual manufacturing overhead costs incurred during the month amounted to $66,000. Job 101 consisting of 1,000 units and Job 103 consisting of 200 units were completed during the month. ns record the above transactions. Use the space bar, NOT the tab key, to properly format the entries. (a) b) Prepare journal entries to Answer the following 1. 2. 3. How much manufacturing overhead was applied to Job 103 during the month? Compute the unit cost of Jobs 101 and 103. What is the balance in Work In Process Inventory at the end of the month? or over-applied amount of the over ? Show computation. Paragraph: Anal : 3(12pt) ?- -.T.2.. Click Save and Submit to save and submit. Ctick Save AllA

Solution

Journal entries S.no. Accounts title and explanations Debit $ Credit $ 1 Work in process Inventory Dr. 60000     Raw material inventory 60000 2 Work n process inventory Dr. 80000     Wages payable Account 80000 3 Work in process Inventory Dr. 60000     Manufacturing Overheads Account 60000 4 Manufacturing Overheads Account Dr. 66000      Accounts payable 66000 Req b: Schedule of Job cost 101 102 103 Material 20000 16000 24000 Labour 32000 28000 20000 Ohh applied @ 75% 24000 21000 15000 Total cost of Jobs 76000 65000 59000 q1. Manufacturing Overheads applied to Job 103: $ 15000 Q2. 101 103 Total cost of Jobs 76000 59000 Divide: Number of units 1000 200 Cost per unit 76 295 Q3. Work in process Ending Inventory: $ 65000 (Job No. 102) Q4. Actual manufacturing Overheads incurred 66000 Overheads applied 60000 Under-applied overheads 6000