1. What was the amount of direct materials charged to JO#2AB?

2. Annual demand for product AB is 50,000 units, and carrying costs amount to P2 per unit. Order costs for the company amount to P5. What is the optimum order quantity in units for product AB?

3. What was the total cost of Job #2AB for October?

4. What is the EOQ?

5. What is the amount of raw materials used to be backflushed from Raw in Process to cost of goods sold?

6. For the month of October, 3 factory workers of Diligent Manufacturing Company, who earn P40.00 per hour, had a total of 37 regular overtime hours because of a special order. If the regular overtime rate is 25% and factory workers’ regular working hours in a month is 160 hours, how much is the total overtime premium for October?

Diligent Corporation has a job order cost system. Below is the Work in Process Inventory ledger for the month of October: Work In Process Inventory Beginning balance 20,000 Direct materials placed in production 97,500 267,500 Transferred to finished goods Direct labor incurred 100,000 Factory overhead applied 80,000 Ending balance 30,000 Diligent applies overhead to production at a predetermined rate based on the direct labor cost. The only job in process in October was JO#2AB. It has been charged with factory overhead of P9,000.