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Badour Inc. is a job-order manufacturer. The company uses a predetermined overhead rate based on direct labor hours to apply overhead to individual jobs. For
| Badour Inc. is a job-order manufacturer. The company uses a predetermined overhead rate based on direct labor hours to apply overhead to individual jobs. For the current year, estimated direct labor hours were 108,600 and estimated factory overhead was $674,000. The following information was for September. Job X was completed during September, while Job Y was started but not finished. | ||||||||||
| September 1, inventories: | ||||||||||
| Materials | $8,600 | |||||||||
| Work-in-process (All Job X) | $36,100 | |||||||||
| Finished goods | $76,400 | |||||||||
| Materials purchases | $119,500 | |||||||||
| Direct materials requisitioned: | ||||||||||
| Job X | $51,600 | |||||||||
| Job Y | $38,200 | |||||||||
| Direct labor hours: | ||||||||||
| Job X | 4,800 | |||||||||
| Job Y | 4,300 | |||||||||
| Labor cost incurred: | ||||||||||
| Direct labor | $5.70 | per hour | $51,870 | |||||||
| Indirect labor | $15,500 | |||||||||
| Factory supervisory salaries | $6,900 | |||||||||
| Rental costs | ||||||||||
| Factory | $8,200 | |||||||||
| Administrative offices | $2,100 | |||||||||
| Total equipment depreciation costs: | ||||||||||
| Factory | $8,700 | |||||||||
| Administrative offices | $1,800 | |||||||||
| Indirect materials used | $13,900 | |||||||||
| The total cost of Job X is:
| ||||||||||
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