Question
Lorenzo company applies overhead to jobs on the basis of direct materials cost. At year end the work in process inventory account shows the following
Lorenzo company applies overhead to jobs on the basis of direct materials cost. At year end the work in process inventory account shows the following
Debit.
dec31 direct material costs 1600,00
dec 31 direct labor costs. 270,000
dec 31 over head applied 560,000
balance 1,600,000 direct material
1,870,000 direct labor cost
2,430,000 overhead applied
finish goods Credit 2,359,000 balance of 71,000
only one job remains in work in process inventory at dec 31 it's direct materials cost is 26,000 how much direct labor cost overhead cost are assigned to this job ??
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