Question
10 2 pts The Who Company uses job-order costing. Overhead is charged to jobs based on direct labor cost. The overhead rate for 2019 is
10 2 pts The Who Company uses job-order costing. Overhead is charged to jobs based on direct labor cost. The overhead rate for 2019 is 2.0 (in other words, allocated overhead is twice the direct labor cost). The company had no beginning Finished Goods for 2019. The company had one job in Work in Process at the beginning of 2019. That was Job A, and the cost incurred to start Job A in 2018 was $4,000. The company worked on three jobs during 2019. During 2019, the company charged $6,000 of direct materials and $8,000 of direct labor to Job A, $9,000 of direct materials and $12,000 of direct labor to Job B, and $3,000 of direct materials and $5,000 of direct labor to Job C. Job A and Job B were completed during 2019. Overhead was overallocated by $2,000 during 2019. Compute the Cost of Goods Manufactured for 2019. You don't have to do a schedule. Just give me the number. Do NOT put a dollar sign on your answer. Question 11 2 pts Refer to question 10. All of Job A and 1/2 of Job B were sold during 2019. If the company used the most theoretically correct method to prorate the $2,000 in overallocated overhead at the end of 2019, how much of the $2,000 would be prorated to Finished Goods
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