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Pribil Farm Equipment is a job-order costing manufacturer that uses a plantwide overhead rate based on direct labor hours. Estimations for the year include $420,000
Pribil Farm Equipment is a job-order costing manufacturer that uses a plantwide overhead rate based on direct labor hours. Estimations for the year include $420,000 in overhead and 30,000 direct labor hours. Pribil worked on five jobs in March. Data are as follows:
Job 89 | Job 90 | Job 91 | Job 92 | Job 93 | |
Balance, 3/1 | $23,110 | $18,240 | $ 9,510 | $ 0 | $ 0 |
Direct materials | 13,000 | 17,210 | 22,900 | 15,240 | 8,210 |
Direct labor cost | 8,075 | 11,500 | 16,250 | 9,750 | 4,860 |
Direct labor hours | 1,615 hrs. | 2,300 hrs. | 3,250 hrs. | 1,950 hrs. | 972 hrs. |
By March 31, Jobs 89 and 91 were completed and sold. The rest of the jobs remained in process.
A. | Calculate the plantwide overhead rate. |
B. | Calculate the Work in Process on March 31. |
C. | Calculate the cost of goods sold for March. |
D. | Assume Pribil marks up cost by 40%. What is the selling price of Jobs 89 and 91? |
Show your calculations!
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