Job-Order Cost Sheets, Balance in Work in Process and Finished Goods

Prull Company, a job-order costing firm, worked on three jobs in July. Data are as follows:

	Job 86	Job 87	Job 88
Balance, July 1	$21,210	$6,250	$0
Direct materials	$10,410	$12,280	$16,150
Direct labor	$16,040	$12,130	$23,950
Machine hours	500	280	990

Overhead is applied to jobs at the rate of $15 per machine hour. By July 31, Jobs 86 and 88 were completed. Jobs 82 and 86 were sold. Job 87 remained in process. On July 1, the balance in Finished Goods was $48,990 (consisting of Job 82 for $25,570 and Job 84 for $23,420).

Prull prices its jobs at cost plus 30%. During July, variable marketing expenses were 5% of sales, and fixed marketing expenses were $1,970; administrative expenses were $4,800. (Round all amounts to the nearest dollar.)

Required:

Question Content Area

1. Prepare job-order cost sheets for all jobs in process during July, showing all costs through July 31. All amount cells must have an entry; enter zeros as needed.

Prull Company Job-Order Cost Sheets For the Month of July

	Job 86	Job 87	Job 88
Balance, July 1	$fill in the blank 11b279f5df98f8a_1	$fill in the blank 11b279f5df98f8a_2	$fill in the blank 11b279f5df98f8a_3
Direct materials	fill in the blank 11b279f5df98f8a_4	fill in the blank 11b279f5df98f8a_5	fill in the blank 11b279f5df98f8a_6
Direct labor	fill in the blank 11b279f5df98f8a_7	fill in the blank 11b279f5df98f8a_8	fill in the blank 11b279f5df98f8a_9
Applied overhead	fill in the blank 11b279f5df98f8a_10	fill in the blank 11b279f5df98f8a_11	fill in the blank 11b279f5df98f8a_12
Total	$fill in the blank 11b279f5df98f8a_13	$fill in the blank 11b279f5df98f8a_14	$fill in the blank 11b279f5df98f8a_15

Question Content Area

2. Calculate the balance in Work in Process on July 31. The balance in Work in Process on July 31 is $fill in the blank 120e25fbb009041_1.

3. Calculate the balance in Finished Goods on July 31. The balance in Finished Goods on July 31 is $fill in the blank 120e25fbb009041_2.

4. Calculate Cost of Goods Sold for July. The cost of goods sold for July is $fill in the blank 120e25fbb009041_3.

5. Calculate operating income for Prull Company for the month of July. The operating income for the month of July is $fill in the blank 120e25fbb009041_4.