EnginePro, Inc., reconditions engines. Its job order costing records yield the following information. EnginePro uses a perpetual inventory system.

Requirements 

1. Using the dates above to identify the status of each job, compute EnginePro's account balances at March 31 for Work in Process Inventory, Finished Goods Inventory, and Cost of Goods Sold. Compute account balances at April 30 for Work in Process Inventory, Finished Goods Inventory, and Cost of Goods Sold.

2. Make summary journal entries to record the transfer of completed jobs from Work in Process to Finished Goods for March and April.

3. Record the sale of Job 5 for $1,600.

4. Compute the gross profit for Job 5. What costs must the gross profit cover?

Transcribed Image Text:

Job Date No. Started Finished Sold Job at March 31 Total Cost of Total Manufacturing Costs Added in April 1 2/26 3/7 3/9 $1,400 2 2/3 3/12 3/13 1,600 3 3/29 3/31 4/3 1,300 4 3/31 4/1 4/1 500 $ 400 5 4/8 4/12 4/14 700 6 4/23 5/6 5/9 1,200