On June 1, Dabo Company’s work-in-process inventory consisted of three jobs with the following costs:

During June, four more jobs were started. Information on costs added to the seven jobs during June is as follows:

Before the end of June, Jobs 70, 72, 73, and 75 were completed. On June 30, Jobs 72 and 75 were sold.
Required:
1. Calculate the predetermined overhead rate based on direct labor cost.
2. Calculate the ending balance for each job as of June 30.
3. Calculate the ending balance in Work-in-Process Inventory as of June 30.
4. Calculate the cost of goods sold for June.
5. Assuming that Dabo prices its jobs at cost plus 20 percent, calculate Dabo’s sales revenue for June.

Transcribed Image Text:

Job 70 Job 71 Job 72 Direct materials $1,600 $2,000 $850 Direct labor 1,900 1,300 900 Applied overhead 1,425 975 675