Question
Marnie builds custom-made sailboats. She uses job order costing for her business. Each new boat is a single job. During June, Marnie started three new
Marnie builds custom-made sailboats. She uses job order costing for her business. Each new boat is a single job. During June, Marnie started three new boats, one of which was Job SeaLady1. Marnie purchased $300,000 of materials for the new boat orders and stored them in a warehouse to be brought to the job sites as needed. In June, Marnie requisitioned $90,000 of material for Job SeaLady 1. Direct labor on SeaLady 1 was $25,000 in June. Overhead is applied at 150% of direct labor cost. What is on the job cost sheet for SeaLady 1 at June 30?
direct material of $90,000, direct labor of $25,000, and overhead of $37,500
direct material of $90,000, direct labor of $25,000, and overhead of $50,000
direct material of $90,000, direct labor of $12,500, and overhead of $37,500
direct material of $300,000, direct labor of $25,000, and overhead of $37,500
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