Question
Lowry Smithing has two manufacturing departments--Fabrication and Finishing. The company started, completed, and sold only two jobs during the month (Job 23-19 and Job 23-20).
Lowry Smithing has two manufacturing departments--Fabrication and Finishing. The company started, completed, and sold only two jobs during the month (Job 23-19 and Job 23-20). The following information is available for Job 23-20. The Fabrication department uses an allocation base of Machine Hours (MH) and the Finishing department uses an allocation base of Direct Labor Hours (DLH).
| Job 23-20 | Fabrication | Finishing |
| Predetermined Overhead Rate | $10.49 per MH | $8.84 per DLH |
| Machine Hours (in units) | 6,335 | 622 |
| Direct Labor Hours (in units) | 1,961 | 6,008 |
| Direct Materials Cost | $64,775 | $54,794 |
| Direct Labor Cost | $52,042 | $69,522 |
For Job 23-20, what is the amount of total Job Cost generated specifically from the Fabrication department? Round your final answer to two decimals, if necessary.
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Intermediate Accounting Volume 1
Authors: Donald E. Kieso, Jerry J. Weygandt, Terry D. Warfield, Irene M. Wiecek, Bruce J. McConomy
12th Canadian edition
978-1119496496
