a) Exercise 1: What is the total cost for Job 1 shown on the Job Cost Sheet? See circle on the printed exercise.

b) Exercise 1: After ALL of the entries for Exercise 1 have been recorded, what is the final account balance in the Work in Process Inventory account? See circle on the printed exercise.

c) Exercise 2: Step 9. What is the Cost per Equivalent Unit? See circle on the printed exercise.

d) Exercise 2: After ALL of the entries for Exercise 2 have been recorded, what is the final account balance in the Work in Process- Finishing account? See circle on printed exercise.

JOB ORDER COST SYSTEM: EXERCISE 1: Use the T-accounts on the next page to record the following entries for Jen Manufacturing using a Job Order Cost system. Be sure to carefully review the text and other resources before attempting this problem. 1) Purchased raw materials on account costing $20,000. 2) Materials costing $13,000 were requisitioned for use in making specific customer jobs (Job 1: $6,000 and Job 2: $7,000 ). An additional $1,000 in materials was requisitioned for general factory use. 3) A total of $17,300 was incurred in wages for the period to be paid next month. Jen Manufacturing determined that $7,800 wages were payable to direct laborers (Job 1: $4,000 and Job 2: $3,800 ). An additional $9,500 were payable to factory employees who do not work directly on Jen's products. 4) Utilities expenses on the factory totaling $5,000 were paid in cash. 5) $3,700 in depreciation was recorded on factory machines. 6) Jen uses machine hours to apply Manufacturing Overhead to production. The Estimated Manufacturing Overhead for the year was $250,000. The Estimated Machine Hours for the year were 5,000 hours. a. Calculate the Predetermined Overhead Allocation Rate: b. Use the Predetermined Overhead Allocation Rate to apply Manufacturing Overhead to production. Jen's actual usage was 400 machine hours during the period (Job 1: 150 hours and Job 2: 250 hours). Record your entries in the T-accounts. 7) Job 1 was completed and transferred to Finished Goods Inventory. Use the Job Cost Sheet below to summarize the Job 1 costs. 8) Job 1 Products were sold on account to customers for $55,000. The cost of these products was calculated in Step 7. Be sure to record both entries (i.e. the sale and the cost). The beginning balance in the Manufacturing Overhead account was $300. After all of the entries have been recorded for the period, what is the balance in the Manufacturing Overhead account? Is the balance Under or Over-Allocated? 9) Make the adjusting entry to close out the Manufacturing Overhead balance to Cost of Goods Sold. PROCESS COST SYSTEM: Weighted Average Method: Carefully review the completed example below. Then, use these concepts to complete Exercise 2 that follows. Completed Example: Advanced Technologies produces notebook computers in two departments: Assembly and Finishing. During both the Assembly and Finishing stages, Direct Materials, Direct Labor and Manufacturing Overhead are incurred and tracked using a process costing system (weighted average method). Consistent with a process costing system, the flow of costs are tracked by stage (i.e. department) rather than by job or cost object. The T-accounts that follow the problem steps display the beginning account balances in the relevant accounts as of January 1st,2019. Note that there are two Work-in-Process (WIP) accounts, one for each department (Assembly and Finishing). The beginning balances in these accounts represent the partially completed inventory carried over from December to January. Use a process cost system to record the following entries for the Assembly dept. in the T-accounts (last page) for the year 2019. 1. Advanced Tech. used cash to purchase raw materials in the amount of $78,000. 2. Transferred $56,000 of raw materials to the Assembly department for use in the assembly phase. 3. Paid $98,000 cash to Assembly department employees who work directly with the product. 4. Advanced Tech. uses Direct Labor Hours to estimate a Predetermined Overhead Rate at the start of each year. Advanced estimates total Manufacturing Overhead costs to be $119,600 for 2019 with estimated Direct Labor Hours of 26,000hrs. Start by calculating the Predetermined Overhead Rate for 2019: The Assembly department incurred 14,000 of direct labor hours during 2019. Use the rate above to calculate overhead for the WIP-Assembly account and record the entry. 5. The beginning inventory in the WIP-Assembly account consisted of 45 partially completed units. Another 430 units were started in the Assembly department in 2019. Advanced Tech. transferred 390 units to the Finishing department during 2019. Summarize the units in Assembly department: The costs in the WIP-Assembly account must be allocated (split) between the 85 partially completed units (as for Assembly) still in ending inventory and the 390 units transferred to the Finishing department. A production engineer for Advanced Tech. estimates that the 85 units in ending inventory are 60% complete for the Assembly phase. Of course, the 390 units transferred are 100\% complete (for Assembly). Calculate the Equivalent Units of Production: Next, calculate a Cost per Equivalent Unit: Finally, use the Cost per Equivalent Unit above to allocate the total assembly costs and record the necessary entry to credit WIP-Assembly and debit WIP-Finishing: EXERCISE 2: Now, record the following entries for the Finishing department for 2019. Use the Taccounts on the last page. If you get stuck, be sure to carefully review the previous example and the text and other resources. 6. Transferred $42,000 of raw materials to the Finishing department for use in the Finishing phase. 7. Paid $74,000 cash to Finishing department employees working directly with the product. 8. The Finishing department incurred 11,000 of direct labor hours during 2019. Use the same Predetermined Overhead Rate (calculated in the completed example above) to allocate overhead to the WIP-Finishing account and record the entry. 9. The beginning inventory in the WIP-Finishing account consisted of 24 partially completed units. During 2019, Advanced Tech. transferred 270 units to Finished Goods. Summarize the units in the Finishing department: The costs in the WIP-Finishing account must be allocated (split) between the 144 partially completed units (as for Finishing) still in ending inventory and the 270 units transferred to the Finished Goods account. A production engineer for Advanced Tech. estimates that the 144 units in ending inventory are 50% complete for the Finishing phase. Of course, the 270 units transferred are 100\% complete (for Finishing). Calculate the Equivalent Units of Production: Next, calculate a Cost per Equivalent Unit: Finally, use the Cost per Equivalent Unit above to allocate the total finishing costs and record the necessary entry to credit WIP-Finishing and debit Finished Goods: 10. Advanced Tech. used cash to pay $115,400 for actual manufacturing overhead costs. 11 . Sold 120 units for $192,000 cash. The cost of goods sold was $136,080 ( $1,134120 units). 12. Closed the balance in Manufacturing Overhead to Cost of Goods Sold. JOB ORDER COST SYSTEM: EXERCISE 1: Use the T-accounts on the next page to record the following entries for Jen Manufacturing using a Job Order Cost system. Be sure to carefully review the text and other resources before attempting this problem. 1) Purchased raw materials on account costing $20,000. 2) Materials costing $13,000 were requisitioned for use in making specific customer jobs (Job 1: $6,000 and Job 2: $7,000 ). An additional $1,000 in materials was requisitioned for general factory use. 3) A total of $17,300 was incurred in wages for the period to be paid next month. Jen Manufacturing determined that $7,800 wages were payable to direct laborers (Job 1: $4,000 and Job 2: $3,800 ). An additional $9,500 were payable to factory employees who do not work directly on Jen's products. 4) Utilities expenses on the factory totaling $5,000 were paid in cash. 5) $3,700 in depreciation was recorded on factory machines. 6) Jen uses machine hours to apply Manufacturing Overhead to production. The Estimated Manufacturing Overhead for the year was $250,000. The Estimated Machine Hours for the year were 5,000 hours. a. Calculate the Predetermined Overhead Allocation Rate: b. Use the Predetermined Overhead Allocation Rate to apply Manufacturing Overhead to production. Jen's actual usage was 400 machine hours during the period (Job 1: 150 hours and Job 2: 250 hours). Record your entries in the T-accounts. 7) Job 1 was completed and transferred to Finished Goods Inventory. Use the Job Cost Sheet below to summarize the Job 1 costs. 8) Job 1 Products were sold on account to customers for $55,000. The cost of these products was calculated in Step 7. Be sure to record both entries (i.e. the sale and the cost). The beginning balance in the Manufacturing Overhead account was $300. After all of the entries have been recorded for the period, what is the balance in the Manufacturing Overhead account? Is the balance Under or Over-Allocated? 9) Make the adjusting entry to close out the Manufacturing Overhead balance to Cost of Goods Sold. PROCESS COST SYSTEM: Weighted Average Method: Carefully review the completed example below. Then, use these concepts to complete Exercise 2 that follows. Completed Example: Advanced Technologies produces notebook computers in two departments: Assembly and Finishing. During both the Assembly and Finishing stages, Direct Materials, Direct Labor and Manufacturing Overhead are incurred and tracked using a process costing system (weighted average method). Consistent with a process costing system, the flow of costs are tracked by stage (i.e. department) rather than by job or cost object. The T-accounts that follow the problem steps display the beginning account balances in the relevant accounts as of January 1st,2019. Note that there are two Work-in-Process (WIP) accounts, one for each department (Assembly and Finishing). The beginning balances in these accounts represent the partially completed inventory carried over from December to January. Use a process cost system to record the following entries for the Assembly dept. in the T-accounts (last page) for the year 2019. 1. Advanced Tech. used cash to purchase raw materials in the amount of $78,000. 2. Transferred $56,000 of raw materials to the Assembly department for use in the assembly phase. 3. Paid $98,000 cash to Assembly department employees who work directly with the product. 4. Advanced Tech. uses Direct Labor Hours to estimate a Predetermined Overhead Rate at the start of each year. Advanced estimates total Manufacturing Overhead costs to be $119,600 for 2019 with estimated Direct Labor Hours of 26,000hrs. Start by calculating the Predetermined Overhead Rate for 2019: The Assembly department incurred 14,000 of direct labor hours during 2019. Use the rate above to calculate overhead for the WIP-Assembly account and record the entry. 5. The beginning inventory in the WIP-Assembly account consisted of 45 partially completed units. Another 430 units were started in the Assembly department in 2019. Advanced Tech. transferred 390 units to the Finishing department during 2019. Summarize the units in Assembly department: The costs in the WIP-Assembly account must be allocated (split) between the 85 partially completed units (as for Assembly) still in ending inventory and the 390 units transferred to the Finishing department. A production engineer for Advanced Tech. estimates that the 85 units in ending inventory are 60% complete for the Assembly phase. Of course, the 390 units transferred are 100\% complete (for Assembly). Calculate the Equivalent Units of Production: Next, calculate a Cost per Equivalent Unit: Finally, use the Cost per Equivalent Unit above to allocate the total assembly costs and record the necessary entry to credit WIP-Assembly and debit WIP-Finishing: EXERCISE 2: Now, record the following entries for the Finishing department for 2019. Use the Taccounts on the last page. If you get stuck, be sure to carefully review the previous example and the text and other resources. 6. Transferred $42,000 of raw materials to the Finishing department for use in the Finishing phase. 7. Paid $74,000 cash to Finishing department employees working directly with the product. 8. The Finishing department incurred 11,000 of direct labor hours during 2019. Use the same Predetermined Overhead Rate (calculated in the completed example above) to allocate overhead to the WIP-Finishing account and record the entry. 9. The beginning inventory in the WIP-Finishing account consisted of 24 partially completed units. During 2019, Advanced Tech. transferred 270 units to Finished Goods. Summarize the units in the Finishing department: The costs in the WIP-Finishing account must be allocated (split) between the 144 partially completed units (as for Finishing) still in ending inventory and the 270 units transferred to the Finished Goods account. A production engineer for Advanced Tech. estimates that the 144 units in ending inventory are 50% complete for the Finishing phase. Of course, the 270 units transferred are 100\% complete (for Finishing). Calculate the Equivalent Units of Production: Next, calculate a Cost per Equivalent Unit: Finally, use the Cost per Equivalent Unit above to allocate the total finishing costs and record the necessary entry to credit WIP-Finishing and debit Finished Goods: 10. Advanced Tech. used cash to pay $115,400 for actual manufacturing overhead costs. 11 . Sold 120 units for $192,000 cash. The cost of goods sold was $136,080 ( $1,134120 units). 12. Closed the balance in Manufacturing Overhead to Cost of Goods Sold