Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Direct materials 24 m x $2 per metre = $48.00 Direct labour 3.10 hours x $12 per hour = $37.20 During February, Pharoah Inc.
Direct materials 24 m x $2 per metre = $48.00 Direct labour 3.10 hours x $12 per hour = $37.20 During February, Pharoah Inc. worked on three separate orders of garden hoses. Job cost records for the month disclose the following: Lot Units in Lot Materials Used Hours Worked 4503 1,000 dozen 24,100 m 2,940 4504 1,500 dozen 36,150 m 5.200 4505 2,900 dozen 69,890 m 2,850 You have been able to gather the following information: 1. 2. 3. 4. Pharoah Inc. purchased 110,000 m of material during February at a cost of $242,000. The materials price variance is recorded when goods are purchased, and all inventories are carried at standard cost. The payroll department reported that production employees were paid $12.30 per hour. There was no beginning work in process. During February, lots 4503 and 4504 were completed, and all materials were issued for lot 4505, which was 60% complete in terms of labour. Pharoah Inc. applies fixed and variable overhead based on machine hours. Below are the results for Pharoah Inc. for the month of February:
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started