Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Sregor Company uses Job Costing to keep track of the costs of making custom order items. As the end of June, Job 1 and Job

image text in transcribedimage text in transcribed

Sregor Company uses Job Costing to keep track of the costs of making custom order items. As the end of June, Job 1 and Job 2 were not finished. Job 3 was not started until July. During July Job 1 and Job 2 were completed and Job 2 was sold. Job 3 was only partially complete. Sregor uses normal costing and it has been determined that overhead varies with Direct Labor Cost and its pre- determined rate is two and one-half times the Direct Labor Cost. Jobs are sold at 200% of total production costs. Marketing and administrative costs are $1,500 for the month. You have received the following cost data for the month of July. Keep in mind all data may not be used. Job 1 Job 3 Job 2 Total $2,500 $1,000 June 30 balance Direct materials 900 700 $4,500 Direct Labour 1,200 1,300 3,300 Overhead July 31 balance Required: a. Complete the Job Cost Sheet above (SHOW YOUR WORK). b. From the numbers above and costs, what is the cost of the work-in-process inventory at July 31? c. What is the cost of the finished goods inventory at July 31? d. What is the cost of goods sold at July 31? e. What was the selling price of the items sold in July? f. Prepare the cost of Goods Manufactured Statement in good form, below

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Handbook Of Energy Audits

Authors: Albert Thumann, Terry Niehus, William J. Younger

9th Edition

1466561629, 978-1466561625

More Books

Students also viewed these Accounting questions