Question
Sweeten Company had no jobs in progress at the beginning of March and no beginning inventories. It started only two jobs during MarchJob P and
Sweeten Company had no jobs in progress at the beginning of March and no beginning inventories. It started only two jobs during MarchJob P and Job Q. Job P was completed and sold by the end of the March and Job Q was incomplete at the end of the March. The company uses a plantwide predetermined overhead rate based on direct labor-hours. The following additional information is available for the company as a whole and for Jobs P and Q (all data and questions relate to the month of March): |
Estimated total fixed manufacturing overhead | $ | 10,000 | |||||||||||||||||||||||||
Estimated variable manufacturing overhead per direct labor-hour | $ | 1.00 | |||||||||||||||||||||||||
Estimated total direct labor-hours to be worked | 2,000 | ||||||||||||||||||||||||||
Total actual manufacturing overhead costs incurred | $ | 12,500 | |||||||||||||||||||||||||
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1. | What is the companys predetermined overhead rate? |
Record the purchases of raw materials on account.
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Record the issuance of direct materials for use in production.
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Record entry to direct labor costs added to production.
Record entry to transfer costs from Work in Process to Finished Goods.
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