A job order cost sheet for Renshaw Company is shown below.

  W hat was the balance in Work in Process Inventory on January 1 if this was the only unfi nished job? (2)If manufacturing overhead is applied on the basis of direct labor cost, what overhead rate was used in each year? (b) Prepare summary entries at January 31 to record the current year's transactions pertaining to Job No. 92. E20-4 Manufacturing cost data for Meneses Company, which uses a job order cost system, are presented below. Case A Case B Case C Direct materials used $ (a) $83,000 $63,150 Direct labor 50,000 120,000 (h) Manufacturing overhead applied 42,500 (d) (i) Total manufacturing costs 155,650 (e) 213,000 Work in process 1/1/12 (b) 15,500 18,000 Total cost of work in process 201,500 (f) (j) Work in process 12/31/12 (c) 11,800 (k) Cost of goods manufactured 192,300 (g) 222,000 Instructions Indicate the missing amount for each letter. Assume that in all cases manufacturing overhead is applied on the basis of direct labor cost and the rate is the same. E20-5 Hodgkiss Company applies manufacturing overhead to jobs on the basis of machine hours used. Overhead costs are expected to total $305,000 for the year, and machine usage is estimated at 125,000 hours. For the year, $322,000 of overhead costs are incurred and 130,000 hours are used.

Analyze a job cost sheet and prepare entries formanufacturing costs.  

Analyze costs of manufacturing and determine missing amounts. 

Compute the manufacturing overhead rate and under- or overapplied overhead 

 

Job No. 92For 2,000 UnitsDirect Direct Manufacturing Date Materials Labor Overhead Beg. bal. Jan.1 5,000 6,000 4,500 8 6,000 128,000 6,400 25 2,000 274,000 3,20013,000 18,000 14,100 Cost of completed job: Direct materials $13,000 Direct labor 18,000 Manufacturing overhead 14,100 Total cost $45,100 Unit cost ($45,100 4 2,000) $22.55