Cycle Gear Corporation has incurred the following costs on job W456, an order for 20 special sprockets
Question:
Cycle Gear Corporation has incurred the following costs on job W456, an order for 20 special sprockets to be delivered at the end of next month:
Direct materials:
• On April 10, requisition number 15673 was issued for 40 titanium blanks to be used in the special order. The blanks cost $15 each.
• On April 11, requisition number 15678 was issued for 420 hardened nibs also to be used in the special order.
The nibs cost $1.25 each.
Direct labour:
• On April 12, Jamie Unser worked from 11:00 a.m. until 2:45 p.m. on job W456. He is paid $12.60 per hour.
• On April 18, Melissa Chan worked from 8:15 a.m. until 11:30 a.m. on job W456. She is paid $13.20 per hour.
Required:
1. On what documents would these costs be recorded?
2. How much cost should have been recorded on each of the documents for job W456?
CorporationA Corporation is a legal form of business that is separate from its owner. In other words, a corporation is a business or organization formed by a group of people, and its right and liabilities separate from those of the individuals involved. It may...
Step by Step Answer:
Introduction to Managerial Accounting
ISBN: 978-1259105708
5th Canadian edition
Authors: Peter C. Brewer, Ray H. Garrison, Eric Noreen, Suresh Kalagnanam, Ganesh Vaidyanathan