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On March 1 a dressmaker starts work on three custom-designed wedding dresses. The company uses job order costing and applies overhead to each job (dress)
On March 1 a dressmaker starts work on three custom-designed wedding dresses. The company uses job order costing and applies overhead to each job (dress) at the rate of 45% of direct materials costs. During the month, the jobs used direct materials as shown below. Compute the amount of overhead applied to each of the three jobs.
Job 1 | Job 2 | Job 3 | |||||||
Direct materials used | $ | 6,700 | $ | 8,700 | $ | 3,200 | |||
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