1. Company: Mu Construction

Scenario: Job Costing in Construction

Data:

• Job A: Direct Materials $100,000, Direct Labor $70,000, Overhead $40,000
• Job B: Direct Materials $150,000, Direct Labor $90,000, Overhead $60,000

Requirements:

1. Calculate the total cost for each job.
2. Determine the cost per unit if Job A produces 1,200 units and Job B produces 1,800 units.
3. Discuss the benefits of accurate job costing.
4. Suggest methods to control costs during construction projects.
5. Analyze the profitability of each job.