A new company started production. Job 1 was completed, and Job 2 remains in production. Here is the information from the job cost sheets from their first and only jobs so far:

Using the information provided,

A. What is the balance in work in process?

B. What is the balance in finished goods inventory?

C. If manufacturing overhead is applied on the basis of direct labor hours, what is the predetermined overhead rate?

Transcribed Image Text:

Job 1 Direct materials Direct labor Manufacturing overhead Total cost Hours Total Cost $ 375 5,313 4,620 $10,308 231 Job 2 Direct materials Direct labor Manufacturing overhead Direct materials Hours Total Cost $ 405 1,955 1,700 $4,060 85