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Hello, Please could you only provide the answers for questions 4 ( A-D) , 5 (A-D) and 6. Thank you! Document Elements Tables Charts SmartArt
Hello, Please could you only provide the answers for questions 4 ( A-D) , 5 (A-D) and 6.
Thank you!
Document Elements Tables Charts SmartArt Review Styles AaBbEe GEORGIA CORPORATION makes custom wood tables and utilizes a job-order costing system. The following standard co information is available with respect to the production of one type X office desk and shelf Direct materials Direct labor Overhead (ALL FIXED 3 yards$10 per yard 5 hours $20 per hour Applied at rate of 510 per direct labor hour JOB 123, from a specialty furniture retailer, called for the production of 10 Type X office desk systems. JOB 678 from a different retailer called for the production of 12 of these same desks. In all of the situations below, assume that all costs are already charged to the jobs in question; that is, as costs are incurred, they are charged to the job (recorded on the job cost card) in question (WIP) REQUIRED 1. How much is the unit cost of ONE Type X office desk? 2. How much is the expected cost of JOB 123? 3. During the production of JOB 123, 2 yards of wood were split, so that the job required more wood and one half hour to replace these split pieces. On average, when producing desks, up to 10% of the wood might be split as part of the production process, and accordingly, this spoilage on JOB 123 is considered normal. The split wood cannot be resold and must be discarded a) The correcting journal entry to account for this would be: CR b) WHY is this the correct entry? c) The cost of JOB123 would then be: d) Assume the same facts as above, except that spit would cannot be used for other but can be resold to hardware stores for $2 per yard. The correcting entry record the spoilage would be: CR e) WHY is this the correct entry? Now assume instead, that the extra 2 yards and time noted above were as a result of a special requirement of the retall customer, rather than the overall process. Now what correcting entry would be made? 4. a) The correcting journal entry to account for this would be: DR CR b) WHY is this the correct entry? c) The cost of JO8123 would then be: d) Assume the same facts as above, except that spit would cannot be used for other production, but can be resold to hardware stores for $2 per yard. to record the spoilage would be: The correcting entry CR e) WHY is this the correct entry? NOW ASSUME that the extra materials and time noted above were caused by a totally unexpected event- say lightning struck the building while JOB123 was in process. Assume 5. discarded. a) The correcting journal entry to account for this would be: DR CR b) WHY is this the correct entry? c) The cost of JO8123 would then beStep by Step Solution
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