1)

Predetermined Factory Overhead Rate

Exotic Engine Shop uses a job order cost system to determine the cost of performing engine repair work. Estimated costs and expenses for the coming period are as follows:

Engine parts		$1,381,000
Shop direct labor		1,008,000
Shop and repair equipment depreciation		84,200
Shop supervisor salaries		234,200
Shop property taxes		42,500
Shop supplies		32,700
Advertising expense		27,600
Administrative office salaries		118,800
Administrative office depreciation expense		15,200
	Total costs and expenses	$2,944,200

The average shop direct labor rate is $21.00 per hour.

Determine the predetermined shop overhead rate per direct labor hour. Round the answer to nearest whole cent.

2)

Entry for Jobs Completed; Cost of Unfinished Jobs

The following account appears in the ledger prior to recognizing the jobs completed in January:

	Work in Process
Balance, January 1	$14,830
Direct materials	120,570
Direct labor	130,060
Factory overhead	68,370

Jobs finished during January are summarized as follows:

Job 210	$60,090		Job 224	$70,100
Job 216	36,720		Job 230	133,530

Predetermined Factory Overhead Rate Exotic Engine Shop uses a job order cost system to determine the cost of performing engine repair work. Estimated costs and expenses for the coming period are as follows: Engine parts $1,381,000 Shop direct labor 1,008,000 Shop and repair equipment depreciation 84,200 Shop supervisor salaries 234,200 Shop property taxes 42,500 Shop supplies 32,700 Advertising expense 27,600 Administrative office salaries 118,800 Administrative office depreciation expense 15,200 Total costs and expenses $2,944,200 The average shop direct labor rate is $21.00 per hour. Determine the predetermined shop overhead rate per direct labor hour. Round the answer to nearest whole cent. per direct labor hour Entry for Jobs Completed; Cost of Unfinished Jobs The following account appears in the ledger prior to recognizing the jobs completed in January: Work in Process Balance, January 1 $14,830 Direct materials 120,570 Direct labor 130,060 Factory overhead 68,370 Jobs finished during January are summarized as follows: Job 210 $60,090 Job 224 $70,100 Job 216 36,720 Job 230 133,530 a. Journalize the entry to record the jobs completed. If an amount box does not require an entry, leave it blank. b. Determine the cost of the unfinished jobs at January 31