Part B Job Costing

Answer the questions and record the following independent transactions into the general journal:

(a) 400 kg of direct materials was purchased at $25 per kg. Indirect factory supplies worth $2000 was also purchase. There was no opening inventory. Closing inventory was $500.

How much was issued?

(b)

Direct Material used was 164000

Direct labor incurred 226400

Overhead is applied at (%) 170

Actual Overhead 384900

Was overhead under or over applied? And how much?

Record the transfer to Finished goods inventory and the adjustment to under or over applied of overhead