Photos - ch 4.jpg X See all photos 8. Edit & Create + Add to 1. Compute une jour 2 Calculate the total cost of direct materials used in Currum 3. Determine work-in-process inventory on December 31, current year. 4-34 General ledger relationships, under and overallocation, service industry. ICT International Enginneering consulting firm, uses a variation from normal costing in its job-costing system. It charges jobs for fees paid to outside experts at actual costs, professional direct-labor costs at a budgeted direct-labor rate, and engineering support overhead costs at a budgeted indirect-cost rate. ICT maintains a "Jobs-in-Process Control account in its general ledger that accumulates all costs of jobs. As a job is completed, ICT immediately bills the client and transfers the cost of the completed job to a "Cost of Jobs Billed" account. The following data pertain to current year. 1. Direct costs of fees (all cash) Rs 3,00,000 2 Actual direct professional labor costs (all cash) ..30,00,00 3. Direct professional labor allocated at Rs 100 per actual29,00,000 4. Actual engineering support overhead costs (all cash) 23,60,000 5. Engineering support overhead allocated at 80% of actual direct professional labor costs, 24,00,000 6. Cost of jobs billed 50,00,000 1. Prepare summary journal entries for the above transactions using these accounts: Jobs-in-Process con- trol, Cost of jobs billed, Direct professional labor control, Direct professional labor alocated, Engineering support overhead control, Engineering support overhead allocated, and Cash control 2 As your final entry, dispose of the year-end under or overallocated account balances as direct writeoffs to cost of jobs billed. Required 4-35 Overview of general ledger relationships. Amitabh Company is a small machine shop that uses nor- mal costing in its job-costing system. The total debits and credits in certain accounts one day before current 2:57 PM Type here to search 4) le 25-Aug-20 Photos - ch 4.jpg X See all photos 8. Edit & Create + Add to 1. Compute une jour 2 Calculate the total cost of direct materials used in Currum 3. Determine work-in-process inventory on December 31, current year. 4-34 General ledger relationships, under and overallocation, service industry. ICT International Enginneering consulting firm, uses a variation from normal costing in its job-costing system. It charges jobs for fees paid to outside experts at actual costs, professional direct-labor costs at a budgeted direct-labor rate, and engineering support overhead costs at a budgeted indirect-cost rate. ICT maintains a "Jobs-in-Process Control account in its general ledger that accumulates all costs of jobs. As a job is completed, ICT immediately bills the client and transfers the cost of the completed job to a "Cost of Jobs Billed" account. The following data pertain to current year. 1. Direct costs of fees (all cash) Rs 3,00,000 2 Actual direct professional labor costs (all cash) ..30,00,00 3. Direct professional labor allocated at Rs 100 per actual29,00,000 4. Actual engineering support overhead costs (all cash) 23,60,000 5. Engineering support overhead allocated at 80% of actual direct professional labor costs, 24,00,000 6. Cost of jobs billed 50,00,000 1. Prepare summary journal entries for the above transactions using these accounts: Jobs-in-Process con- trol, Cost of jobs billed, Direct professional labor control, Direct professional labor alocated, Engineering support overhead control, Engineering support overhead allocated, and Cash control 2 As your final entry, dispose of the year-end under or overallocated account balances as direct writeoffs to cost of jobs billed. Required 4-35 Overview of general ledger relationships. Amitabh Company is a small machine shop that uses nor- mal costing in its job-costing system. The total debits and credits in certain accounts one day before current 2:57 PM Type here to search 4) le 25-Aug-20
