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103 Field Workshop is located in Blaff, and has been tasked with repairing all B and D vehicles for the military units in the Durban
103 Field Workshop is located in Blaff, and has been tasked with repairing all B and D vehicles for the military units in the Durban area. They use a job-order costing system. During the month of May, the following transactions occurred: a. Purchased materials on account for R296 700 . b. Requisitioned materials totalling R245 000 for use in production. Of the total, R92 000 was for Job 58, R89 000 for Job 59, and the remainder for Job 60 . c. Incurred direct labour for the month of R324000, with an average wage of R180 per hour. Job 58 used 800 hours; Job 59, 600 hours; and Job 60, 400 hours. d. Incurred and paid actual overhead of R178 800 (credit Various Payables). e. Charged overhead to production at the rate of R48 per direct labour hour. f. Completed and transferred Jobs 58 and 59 to Finished Goods. g. Sold Job 57 (see beginning balance of Finished Goods) and Job 58 to their respective clients on account for a price of cost plus 40%. Beginnino halances as of 1 Mav 2018 were: Required: 5.1 Prepare the journal entries for transactions a through g. (16)
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