Exaplex Ltd uses job order costing. It started January 2014 with $240,000 of raw materials and $300,000 of finished goods. There was no work-in-progress as at 1 January 2014. During that month, $100,000 of raw materials was purchased on credit.

In January, the company started work on 3 jobs, Job-1, Job-2 and Job-3. A review of the material requisition forms and time sheets showed that raw materials and labour costs incurred for the 3 jobs are in the ratio of 3:2:1 respectively.

Material requisition forms for January 2014 showed that $300,000 of direct materials was issued for production purposes. Time sheets for the month showed that $180,000 of direct labor cost was incurred. Factory overhead is applied at 100% of direct labor cost.

Material returned report for the month showed that $1,000 of direct materials was returned by Job-1. This job also generated some scrap and waste materials. The scrap materials were sold for

$1,100 while the waste materials incurred a disposal cost of $400. Only 60% of scrap and waste materials were anticipated.

In addition to the above, a separate set of material requisition forms and time sheets were kept for rework and replacement costs for defective and spoiled units respectively. A review of the documents showed the following:

1. There were 10 defective units found in Job-3. Correction costs amounting to $10,000 for direct materials and $8,000 for direct labor were incurred. Only 3 defective units were anticipated.
2. 5 units were spoilt in Job-2, and sold for $6,000 in total. Total replacement costs amounting to $9,000 for direct materials and $5,600 for direct labor were incurred. No spoilt units were anticipated for Job-2.

Required:

(a) Prepare the Job Cost Card for the three jobs for January 2014.

(b) At the end of January 2014, only Job-1 was incomplete. Prepare the Work-In-Progress and Raw Materials T-accounts of Exaplex Ltd for January 2014.