Handy Manufacturing has accumulated the following information for Job No. 453: $3,700 of direct materials received on
Question:
Handy Manufacturing has accumulated the following information for Job No. 453:
$3,700 of direct materials received on requisition No. 76.
Eleven hours of direct labor were needed each day for 5 days. Labor rate is $9.00 per hour.
Any hours over 40 are considered overtime and are charged at 1% times the normal labor rate to Job No. 453.
3 Factory overhead is applied at 80% of direct labor cost.
This job will produce 25 size 4 crankshafts for Al’s Auto Supply Store. The goods were ordered on April 27, and work was begun on that day. The job was completed on May 3 and was to be delivered on May 9. The crankshafts were sold for $100 apiece. mki85 Required:
Based on the above information, and assuming that selling and administrative expenses equal 3%
of total sales, prepare a job order cost sheet for Job No. 453.
Step by Step Answer:
Cost Accounting Concepts And Applications For Managerial Decision Making
ISBN: 9780070103108
2nd Edition
Authors: Ralph S. Polimeni, James A. Cashin, Frank J. Fabozzi, Arthur H. Adelberg