Part 3 MMM Mig is a joborder costing manufacturer that uses

Part 3- MMM Mig is a job-order costing manufacturer that uses a plantwide overhcad rate based on direct labor hours. Estimations for the year inclade $420,000 in Overhcad and 30,000 direct labor hours. MMM worked on five jobs in March. Data are as follows $23,110 $18,240 $9,510S0$ 13,000 17.210 22,900 15,240 8,210 8075 11,500 16.250 9,750 4,860 Hala Direct Labor cost Direct Labor Hours 950 The plantwide rate for overhead is $14 completed and sold. The rest of the jobs remained in process per direct labour hour. By March 31, Jobs 89 and 91 were a) Calculate the Work-in-Process on March 31.(3 marks) b) Calculate the cost of goods sold for job 91. (2 marks)

Solution

Calculate following :

Calculate Work in process :

Work in process = (79150+52290+26678) = 158118

Calculate cost of goods sold

Cost of goods sold = (66795+94160) = 160955

	Job 89	Job 90	Job 91	Job 92	Job 93
Balance 3/1	23110	18240	9510	0	0
Direct material	13000	17210	22900	15240	8210
Direct labour cost	8075	11500	16250	9750	4860
Overhead	22610	32200	45500	27300	13608
Total	66795	79150	94160	52290	26678