Exercise 4-49: Assume Direct Labor workers make $20 per hour, so with the given labor cost per job, you can determine the number of hours worked. CHANGE the Exercise to say that Overhead is applied at the rate of $32 per direct labor hour. ALSO CHANGE to say that Job #39 and Job #40 were completed and sold, while Job #41 and Job #42 are complete but not sold, and Job #43 is not completed yet.

Ensign Landscape Design designs landscape plans and plants the material for clients. On April 1, there were three jobs in process, Jobs 39, 40, and 41. During April, two more jobs were started, Jobs 42 and 43. By April 30, Jobs 40, 41, 43 were completed and sold. The following data were gathered:

Job 39 Job 40 Job 41 Job 42 Job 43

Balance, April 1 540 3400 2990 _ _

Direct Materials 700 560 375 3500 6900

Direct Materials 500 600 490 2500 3000

Overhead is applied at the rate of 110% of direct labor cost. Jobs are sold at cost plus 30%. Selling and administrative expenses for April totaled 4,575

2. Calculate the ending balance in Work in Process (as of April 30) and Cost goods sold for April

3. Construct an income statement for Ensign Landscape Design for the month of April.