TAKE HOME ASSIGNMENT 2 220 002 rice its job at cost plus s with the following 2. SNC produces fire trucks. The company uses a normal job-order costing system to calculate its cost of goods manufactured. The company's policy is top 30% markup. On January 1, 2016, there was only one job in proces costs: lob A-1 Direct materials 13,500 Direct labour Applied overhead 19800 Total 22,000 $55,300 The following balances were taken from the general ledger of the company as of January 1, 2016: Direct materials inventory $35,000 Finished goods inventory (for Job D-1) $48,000 During the year 2016, the following events occurred: Direct materials were purchased on account for $225,000. Two more jobs were started: Job B-1 and Job C-1. Direct materials and direct labour costs incurred by each job in process during the year 2016 are as follows: lobA-1 lobB-1 lob C1 Direct materials $150,000 $40,000 $10,000 Direct labour $130,000 $35,000 $18,000 The company incurred the following actual factory overhead during the year: Factory rent Factory supplies 30,500 Indirect labour $80,000 $ 52,250 Jobs A-1 and B-1 were completed and Jobs A-1 and D-1 were sold. Instructions (17 marks) (a) Calculate the total applied overhead for the year 2016 if the factory overhead costs are applied to each job on the basis of direct labour dollars and the rate has not changed from the prior year. (2 marks) (b) Prepare simple job-order cost sheets for jobs A-1, B-1, and C-1 for the year ended December 31, 2016. (6 marks)