Boeing Company manufactures aircraft using job costing. In January 2031, the company undertakes three aircraft contracts with the following costs:

• Contract X: Direct materials $500,000, Direct labor $300,000, Factory overhead $200,000
• Contract Y: Direct materials $600,000, Direct labor $350,000, Factory overhead $250,000
• Contract Z: Direct materials $550,000, Direct labor $325,000, Factory overhead $225,000

Required:

• Calculate the total manufacturing costs for each contract.
• Allocate factory overhead to each contract using the predetermined overhead rate based on direct labor costs.
• Determine the cost per unit for each aircraft produced under each contract.
• Analyze the profitability of each contract based on job costing principles.
• Prepare a job costing statement for Boeing Company.