BBB Inc. is employing normal costing for its job orders. The overhead is applied using a predetermined overhead rate. The following information relates to BBB Inc. for the year ended December 31, 2019:

	Job No. 101	Job No. 102	Job No. 103
Job in Process, 01/01/2019
Direct Materials	P80,000	P60,000	P0
Labor	120,000	80,000	0
Factory Overhead	60,000	40,000	0
Costs added during 2019
Materials	P40,000	P20,000	P200,000
Labor	200,000	400,000	800,000
Factory Overhead	200,000	200,000	400,000

Additional information:

1. Actual overhead for the year 2019 amounted to P800,000.
2. Jobs No. 101 and 102 were completed and transferred to finished goods during year 2019.
3. Job No. 102 was sold during 2019.
4. The gross profit rate based on cost is 20%.

Compute: (6 pts)

1. Total manufacturing cost
2. Cost of goods manufactured for 2019
3. Cost of goods sold 2019
4. Gross profit for 2019
5. Work-in process for December 31, 2019
6. Cost of finished goods for December 31, 2019

PROBLEM 6

CCC Inc. has completed Job 101, containing 1,100 shoes, during 2016 at the following unit costs:

Direct Materials – 2,000 Direct Labor – 1,000

Factory Overhead (including an allowance of P300 for spoiled work - 1,300

Final inspection of Job 101 disclosed 100 spoiled shoes which were sold to a department store for P200,000.

1. What is the unit cost of the good shoes produced on Job 101 if spoilage loss is charged to all production? (2 pts)
2. What is the unit cost of the good shoes produced on Job 101 if spoilage loss is charged specifically to Job 101? (2 pts)