exercise 1
JU U manufacturing cost. (Use a summary entry to record cale ufacturing overhead) DO IT!20.2 (102) May Milner Company is working on two job orders. The job cost sheets show the following Job 201 Job 202 Direct materials $7.200 Direct labor 59.000 4,000 8.000 Manufacturing overhead 5,200 9,800 summary entries to record the assignment of costs to Work in Process from the data Assign Com over Store al yol Prepare the three sun the job cost sheets ITI 20.3 (LO3) Was usare estimated to overhead based on me werhead rate, determin apply overhead to Job DOIT! 20.4 (LO4) Durin 310 cost $70.00 ed the Washburn Company produces earbuds. During the year, manufacturing overhead od to be $200.000. Estimated machine usage is 2,500 hours. The company assigns on machine hours. Job No. 551 used 90 machine hours, Compute the predetermined determine the amount of overhead to apply to Job No. 551, and prepare the entry to verhead to Job No. 551 on January 15, ALO4) During the current month, Standard Corporation completed Job 310 and Job 312. $70,000 and Job 312 cost $50,000. Job 312 was sold on account for $90,000. Journalize ories for the completion of the two jobs and the sale of Job 312 SILO 5) For Eckstein Company, the predetermined overhead rate is 1305 of direct labor During the month, Eckstein incurred $100,000 of factory labor costs, of which $85.000 is direct and $15,000 is indirect labor. Actual overhead incurred was $115,000. Compute the amount of facturing overhead applied during the month. Determine the amount of under or overapplied Ured Prep sale wable actur. DO IT! 20.5 (LO 5) der: ob 1 manufacturing overhead. Exercises P E20.1 (LO 1, 2) The wages payable related to the factory workers for Larkin Company during the month of January are $76,000. The employer's payroll taxes for the factory payroll are $8,000. The fringe benefits to be paid by the employer on this payroll are $6,000. Of the total accumulated cost of factory labor, 85% is related to direct labor and 15% is attributable to indirect labor. Instructions E20.2 (LO 1, 2, 3, 4) Stine balance in Work in Process No. 430 $1,500. During May, - Prepare the entry to record the factory labor costs for the month of January D. Prepare the entry to assign factory labor to production. 10 1, 2, 3, 4) Stine Company uses a job order cost system. On May 1, the company has a Work in Process Inventory of $3,500 and two jobs in process: Job No. 429 $2,000, and Job 00. During May, a summary of source documents reveals the following. Materials Labor Job Number Requisition Slips Time Tickets 429 $2,500 $1,900 430 3,500 3,000 431 $10,400 7.600 $12,500 General use 800 1,200 $13,700 4,400 $11,200
