3- Job A3B was ordered by a customer on September 25. During the month of September, Jaycee Corporation requisitioned $2,500 of direct materials and used $4,000 of direct labor. The job was not finished by the end of September, but needed an additional $3,000 of direct materials and additional direct labor of $6,500 to finish the job in October. The company applies overhead at the end of each month at a rate of 200% of the direct labor cost incurred. What is the total cost of the job when it is completed in October?

Multiple Choice

• $16,000

• $22,500

• $37,000

• $26,500

• $32,000

  4- A company that uses a job order costing system would make the following entry to record the flow of direct materials into production:

  Multiple Choice

• debit Work in Process Inventory, credit Cost of Goods Sold.

• debit Work in Process Inventory, credit Raw Materials Inventory.

• debit Work in Process Inventory, credit Factory Overhead.

• debit Factory Overhead, credit Raw Materials Inventory.

• debit Finished Goods Inventory, credit Raw Materials Inventory.

  6- The Work in Process Inventory account for DG Manufacturing follows. Compute the cost of jobs completed and transferred to Finished Goods Inventory.

  Work in Process Inventory
  Beginning WIP	4,500
  Direct materials	47,100
  Direct labor	29,600
  Applied overhead	15,800
  Total Mfg. costs	97,000
  To finished goods			?
  Ending WIP	8,900

  The cost of jobs transferred to finished goods is:

  Multiple Choice

• $97,000.

• $105,900.

• $88,100.

• $95,200.

• $92,500.

  10- When direct labor costs are recorded in a job costing:

  Multiple Choice

• Factory Wages Payable is debited and Work in Process Inventory is credited.

• Work in Process Inventory is debited and Factory Wages Payable is credited.

• Cost of Goods Manufactured is debited and Direct Labor is credited.

• Direct Labor and Indirect Labor are debited and Factory Wages Payable is credited.

• Work in Process Inventory is debited and Factory Overhead is credited.

  12- Copy Center pays an average wage of $12 per hour to employees for printing and copying jobs, and allocates $18 of overhead for each employee hour worked. Direct materials are assigned to each job according to actual cost. Jobs are marked up 20% above total manufacturing cost to determine the selling price. If Job M-47 used $350 of direct materials and took 20 direct hours of labor to complete, what is the selling price of the job?

  Multiple Choice

• $852

• $1,140

• $456

• $720

• $708

  14- Kayak Company uses a job order costing system and allocates its overhead on the basis of direct labor costs. Kayak Company's production costs for the year were: direct labor, $30,000; direct materials, $50,000; and factory overhead applied $6,000. The predetermined overhead rate was:

  Multiple Choice

• 5.0%.

• 12.0%.

• 20.0%.

• 500.0%.

• 16.7%.

  15- Job A3B was ordered by a customer on September 25. During the month of September, Jaycee Corporation requisitioned $2,500 of direct materials and used $4,000 of direct labor. The job was not finished by the end of September, but needed an additional $3,000 of direct materials in October and additional direct labor of $6,500 to finish the job. The company applies overhead at the end of each month at a rate of 200% of the direct labor cost. What is the amount of job costs added to Work in Process Inventory during October?

  Multiple Choice

• $16,000

• $22,500

• $37,000

• $26,500

• $32,000